Source: The Wall Street Journal

Client: National Association of Realtors (NAR)

NAR is implementing the biggest changes in decades to how real-estate agents get paid. Photo: Antonio Perez/Chicago Tribune via Getty Images 

The National Association of Realtors named Nykia Wright as its permanent chief executive, the large trade organization said Monday. 

Wright joined NAR as interim CEO in November to shepherd the organization through several crises.  

A Kansas City jury in October determined that the real-estate industry conspired to keep fees artificially high and found NAR and real-estate brokerages liable for about $1.8 billion in damages. Similar lawsuits were quickly filed around the country. NAR’s then-CEO resigned after the verdict. 

NAR reached a wide-ranging legal settlement in March and is now implementing the biggest changes in decades to how real-estate agents get paid. 

At the time Wright joined the organization, the group was also reeling from sexual-harassment allegations that had prompted its president to resign earlier in 2023. The presidency is NAR’s top elected position.   

Wright said in an interview that she decided she wanted to remain in the job in a permanent capacity this spring, after NAR announced its settlement. “I never saw myself as a placeholder,” she said.  

“We understand that there is significant change and anxiety afoot, and we are committed to making sure that people understand how to get to their next successful deal,” she said. “That’s just going to require a lot of work and education on our part.”  

Wright is NAR’s first female CEO and its first Black CEO. Before joining NAR, she was chief executive of the Chicago Sun-Times and worked as a consultant. She also co-founded SonicMessenger, an advertising and marketing data software company. 

“Having somebody from the outside who could bring in fresh thoughts and ideas to our association, ultimately I think was a great move,” said Kevin Sears, NAR’s president, in an interview. “She’s a no-nonsense leader.” 

NAR still faces challenges. The organization agreed to pay $418 million as part of its settlement, which could shrink the size of its lobbying spending.  

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Wright said lobbying remains a priority for NAR. “We will just have to work with the budget that we have,” she said.  

The housing market has been very slow, as elevated mortgage rates and record-high home prices make home purchases unaffordable to many Americans. A continued slow market could push agents to leave the industry. NAR’s revenue largely comes from member dues. 

On top of that, the new rules for how real-estate agents get paid could lower commissions for real-estate agents and lead more buyers to forgo using agents. 

Wright said that NAR’s membership hasn’t notably declined and that NAR is committed to addressing members’ concerns. NAR currently has about 1.5 million members. 

News Corp, owner of The Wall Street Journal, operates Realtor.com under license from NAR.