NAR’s ‘lavish’ spending includes six-figure pay for volunteers 

The National Association of Realtors has "a free-spending culture" that includes six-figure payments for current and former volunteer leaders, Broadway tickets and first-class travel, according to a new investigation published today in The New York Times.

The story was written by Debra Kamin, who previously reported on NAR's "culture of fear" and sexual assault claims involving eXp. In May, NOTUS, a nonprofit, nonpartisan news organization also released a report about the organization's "dizzying array" of political spending.

Kamin's latest reporting, drawn from interviews with "current and former employees, members and elected leaders," describes in dramatic detail "a free-spending culture at NAR," which the sources characterize as a place where "leaders have come to expect lavish spending and benefits from the day they step into the job."

'Highly unusual' compensation for volunteers

"It is highly unusual — I would even say virtually unheard-of — for volunteer leaders and officers to receive compensation at those levels," Jeff Tenenbaum, a nonprofit lawyer in Washington, D.C., told the Times. "Many of us who practice association antitrust law have always wondered, How can they get away with this?" 

The president, president-elect and first vice president of NAR are called volunteer leaders but receive six-figure payments, the Times said, adding: "They have been given corporate credit cards, and on work trips, they have racked up charges from expensive dinners, golf outings, spa treatments and sports tickets."

NAR spokesman Mantill Williams, meanwhile, told the Times that the leaders of the nation's largest trade association "raise their hands to serve the industry," which "requires a substantial time commitment, personal sacrifice and significant travel." 

Williams called the payments that volunteer elected leaders receive "administrative stipends" that are meant to compensate them for setting aside paid work they could have been doing as real estate professionals in order to work on behalf of NAR.

Real Estate News reached out to NAR, which declined additional comment.

From 'gold-plated perks' to payments for former leaders

Specific allegations from the Times include:

• 'Gold-plated perks' for the CEO: Bob Goldberg, CEO of NAR from 2017-2023, received numerous perks on top of his salary, which increased from $1.2 million to $2.6 million, according to NAR tax returns. When Goldberg traveled from his Maryland home to Chicago, where NAR is based, the organization would pay for his dogs' care. This would happen once or twice a month.

• Perks didn't stop at the top: Former leaders described perks ranging from massages to dinners with $300 bottles of wine to sports tickets. Attendees at NAR leadership retreats got $500 "resort stipends" that they could spend on anything — and so did their spouses.

• Thousands spent on 'Hamilton' tickets: Leaders used NAR-provided cards to buy "Hamilton" tickets in 2015, while they were in town for a conference. At that time, the show was a sensation with tickets that could "run in the low four figures."

• Staying on the payroll: Former leaders have continued to receive payment from NAR after their departure. The Times reported that a former CEO has earned $250,000 a year as a "former officer/consultant" since 2019, and a former chief advocacy officer received more than $300,000 in 2022, according to tax records.

The Times said NAR declined to comment on what current CEO Nykia Wright makes, or whether Goldberg is still getting paid by the organization.

Jay Thompson, an industry influencer and former broker-owner, said "the optics couldn't be worse."

"The everyday Realtor has no idea these 'perks' exist, certainly not at this level," Thompson said. "1.5 million Realtors just got billed for their annual dues, and I suspect hundreds of thousands will be asking, 'THIS is what I'm paying for?'"