What role does the National Association of Realtors (NAR) play in agency law?

The National Association of Realtors (NAR) plays a crucial role in establishing standards and a code of ethics for real estate professionals. This organization helps ensure that real estate agents adhere to a set of ethical guidelines that promote professionalism and accountability in the industry. The NAR's Code of Ethics sets forth principles that members are expected to follow, which helps to maintain public trust and promotes fair treatment in real estate transactions.

In contrast, the NAR does not create laws governing agency relationships, represent only the interests of buyers, or handle the licensing of agents; these functions typically fall under the jurisdiction of state regulations or other entities. By focusing on ethical standards, the NAR fosters a professional environment where both consumers and agents can navigate agency relationships more effectively.