New York Times targets NAR again, this time over political influence 

In a freshly published report on the National Association of Realtors from the New York Times, reporter Debra Kamin digs into the trade association's tremendous political influence via its affiliate nonprofit, the American Property Owners Alliance (APOA). Interviews with sources — including high-ranking members of the association world — highlight several issues with NAR's efforts, specifically around transparency, ethics and spending. 

Breaking nonprofit rules? 

Since forming the APOA in 2020, the organization — which is fully funded by NAR — has spent $12.8 million in grants directed at other political action funds and groups that an APOA rep told Kamin "are committed to advancing pro-housing solutions." However, Kamin reported that the overwhelming majority of these funds — or $10 million worth — have gone to "Republican-aligned super PACs" and groups that have a more conservative bent. 

Attorneys interviewed for the story said this pattern of spending could raise eyebrows at the IRS, which might view the American Property Owners Alliance as participating in partisan, political activity, risking its nonprofit tax-exemption status. 

NAR did not immediately respond to a request for comment on the story and concerns raised about the American Property Owners Alliance. A story published Nov. 22 in Realtor Magazine described APOA as "one of the only nonprofit organizations focused exclusively on advancing private property rights and the interests of property owners in the country," and said it "works across the aisle on common-sense policies that help Americans build generational wealth through property ownership."

Shining light on 'dark money' in real estate

Tony Mancuso, the former president of the Washington D.C. Association of Realtors, tells Kamin that the APOA could be described as "basically a slush fund" that is paid for through member agent dues. A nonprofit lawyer that Kamin interviewed said APOA's spending "looks really bad." And another kicker? There is no formal avenue to apply for grants from the PAC, making it even more obtuse as to how NAR and APOA decide who gets funding.

So how did we get here? The APOA was formed out of the Wisconsin Homeowners Alliance — a group established in 2005 to support Wisconsin property owners, the Times reports. And at the helm of this organization was Bill Malkasian, who former colleagues described as openly right-leaning and who steered money to conservative groups. Malkasian later went on to work at NAR as a staff political strategist.

"He wanted to use soft money and make it really dark. He didn't want it branded with the Realtor name. He wanted to make it untraceable," a former NAR colleague said of Malkasian's plan to take his Wisconsin Homeowners Alliance model to the national association.