Who's who? Alphebet Soup for Kansas REALTORS®
NAR - National Association of REALTORS® - nar.realtor
- A national trade association that licensees may join voluntarily.
- The National Association of REALTORS® was founded as the National Association of Real Estate Exchanges on May 12, 1908, in Chicago. With 120 founding members, 19 Boards, and one state association, the National Association of Real Estate Exchanges' objective was "to unite the real estate men of America for the purpose of effectively exerting a combined influence upon matters affecting real estate interests." (https://www.nar.realtor/about-nar/history)
KAR - Kansas Association of REALTORS® - www.kansasrealtor.com
- A state-level chapter of the National Association of REALTORS®.
- Jurisdiction over membership and the use of the term "REALTOR®" in the state of Kansas.
SAR - Sunflower Association of REALTORS®
- A local chapter of the National Association of REALTORS®.
- Jurisdiction over membership and the use of the term "REALTOR®" in the Kansas counties of Brown, Nemaha, Jackson, Jefferson, Shawnee, Osage, Lyon, and Greenwood.
KREC - Kansas Real Estate Commission
- A regulating body of the state government.
The Kansas Real Estate Commission is the state regulatory body whose purpose is to protect the public interest in the selling, purchasing and leasing of real estate and developing responsive policies and procedures which are customer service focused and not unduly burdensome to regulated real estate licensees. (https://www.krec.ks.gov/)
- KREC issues licenses to real estate professionals.
- KREC determines which courses are approved for the continuing education credits (CEs) needed for KREC license renewal and maintains licensee records.
- Associations have their own requirements for initial and ongoing member education and training. These requirements are entirely separate from those of the Kansas Real Estate Commission.
- Associations offer a variety of training and education programs, some of which may be approved for CEs by the Kansas Real Estate Commission or the Kansas Real Estate Appraisal Board.
- KREC responds to violations of license law and other regulatory complaints. Click here to submit a complaint to KREC.
- The Associations respond only to complaints of violations of the NAR Code of Ethics and have no control over the state regulatory system.
- The Sunflower MLS responds only to complaints of violations of SMLS policy and must allow any licensee to participate in SMLS services according to its bylaws and other governing documents.
The NAR website compares commissions and associations this way:
Real Estate Commissions (e.g. KREC)
Each jurisdiction has a real estate commission whose primary mission is to protect the public from unqualified real estate practitioners. As such, the real estate commission has the authority to implement and enforce real estate licensing laws. In keeping with this authority, the real estate commission serves various important functions, including:
- Authority to Issue a license, and monitor real estate activities.
- Establish requirements for maintenance of a real estate license, such as continuing education.
- Conduct investigations into alleged violations of jurisdiction licensing laws and regulations based on complaints filed by the public or on the real estate commission’s own motion.
- Perform routine audits of trust accounts.
- Enforce licensing laws and take disciplinary action against licensees who have been found in violation, including revoking their ability to practice licensed real estate activities in a respective jurisdiction.
Members of the public who suspect a real estate licensee has violated the licensing laws can direct their complaint to the real estate commission of the respective jurisdiction, which will then review the allegations and determine what action, if any, is appropriate for the jurisdiction to pursue.
REALTOR® Associations
Membership in a REALTOR® association is entirely voluntary, but carries with it the responsibility for each REALTOR® member to adhere to a strict Code of Ethics. Real estate professionals join their local REALTOR® association and, as part of their membership, they automatically become members of both the state REALTOR® association, and the National Association of REALTORS® (NAR). The NAR Code of Ethics, which establishes a public and private standard of behavior for REALTOR® members when dealing with the public and other real estate professionals, is enforced at the local level through the local REALTOR® association. It is therefore the function and authority of the local REALTOR® association to:
- Conduct hearings into alleged violations of the NAR Code of Ethics.
- Take disciplinary action against a REALTOR® member, which can include the ordering of fines or revocation of a real estate professional’s membership in the REALTOR® association.
Similar to filing a complaint with the state real estate association, members of the public can also contact their local REALTOR® association and file a complaint where they suspect a violation of the Code of Ethics has occurred. It is important to understand, however, that a REALTOR® association does not have any authority over a real estate professional’s license, as this is the exclusive jurisdiction of the respective real estate commission. REALTOR® associations only discipline REALTOR® members for violations of the NAR Code of Ethics. For all other alleged wrong doing, consumers should contact the respective real estate commission or consult with an attorney.
In conclusion, real estate professionals are held to high standards under which they must conduct their business. The real estate commission enforces its license laws, while members of a REALTOR® association must agree to follow the NAR Code of Ethics. If a real estate professional fails to adhere to these standards, appropriate action can be taken.