Message From President Mike Theo: Doing What’s Right Isn’t Always Doing What’s Popular


 Mike Theo  |    June 10, 2019
President Message

Most everyone I know has an aversion to rewarding bad behavior. But it’s hard, isn’t it? It’s especially hard when it comes to parenting, but also hard with other family members, friends or colleagues. But tolerating, or worse rewarding, bad behavior is what we often do when we witness it in the practice of real estate. Whether that behavior is due to incompetency, dishonesty or discourtesy, it is often easier to say nothing in order to preserve a deal, an acquaintance or a relationship you want to maintain for future professional interaction.

But REALTORS® have been complaining about the level of professionalism in the marketplace for as long as I’ve been associated with the association, and that’s over three decades. In fact, 88 percent of REALTORS® surveyed last spring said they experienced another REALTOR® acting unethically or incompetently; 16 percent noted incompetently, 6 percent noted unethically, and 66 percent said both! That’s a problem. When asked if anyone in their office or workplace acted unethically or incompetently, 82 percent said no. Saying the problem lies elsewhere is even a bigger problem.

Professionalism, or lack thereof, is hard to define and even harder to improve. Problems with professionalism involve competency: filling out forms improperly, failure to disclose, breach of confidentiality, misuse of addenda, or not providing clients with written documentation. But professionalism also includes issues of courtesy: failing to return emails or calls in a timely manner, sloppy completion of forms, or not keeping promises to other agents. Some of these issues constitute malpractice while others constitute lack of respect or common civility. 

In the past, we have tried to increase professionalism by increasing education requirements. That’s not an illogical response since eight out of 10 Wisconsin REALTORS® think more real estate education leads to more professionalism in the marketplace, and 46 percent of those surveyed strongly agreed with that statement. But more class time hasn’t seemed to improve professionalism enough in the minds of most WRA members.

Since doing nothing seems tantamount to rewarding bad behavior, a new WRA task force — established by WRA Chairman Jean Stefaniak and chaired by past WRA Chairman Peter Sveum — has created proposals to improve professionalism by enhancing knowledge, expanding discipline and modifying behavior. Highlights include:

Enhancing knowledge:

  1. Develop a multi-year, multi-media statewide education campaign to inform REALTORS® about NAR’s Commitment to Excellence; encourage self-policing by the industry; discuss consequences of poor practice; identify best practice relating to professionalism; and provide details on how to report unprofessional conduct and/or behavior by other REALTORS®.
  2. Pass new post-license education requirements for all new licensees. This is a recommended change for future legislative sessions.
  3. Adopt new post-license education requirements for new licensees as a condition of WRA membership. NAR approval required.
  4. Create new WRA-approved remediation education courses for REALTORS® disciplined by local associations for violating the REALTOR® Code of Ethics.
  5. Create a new “WRA-certified Broker” status for brokers who have completed specific training to meet the highest ethical standards.

Expanding discipline: 

  1. Direct the WRA to publish the names of all licensees — and firms if named — disciplined by the DSPS to all WRA members and the general public.
  2. Require mandatory training or CE for REALTORS® with confirmed violations of state license law to retain REALTOR® membership. NAR approval required.
  3. Suspend or revoke REALTOR® membership for severe and/or repeated violations of state license laws. NAR approval required.
  4. Increase DSPS-imposed fines to a maximum of $15,000 for state license law violations. Legislation required.
  5. Direct the WRA to publish the names of all members disciplined for violating the REALTOR® Code of Ethics and MLS rules to all WRA members and the general public. NAR and local association approval required.
  6. Empower the WRA to suspend or revoke REALTOR® membership for severe or repeated REALTOR® Code of Ethics violations. NAR approval required.
  7. Empower the WRA to require additional training or CE to retain REALTOR® membership for severe or repeated REALTOR® Code of Ethics violations. NAR approval required.
  8. Require the Wisconsin Department of Safety and Professional Services (DSPS) and the Real Estate Examining Board (REEB) to inform the supervising broker or “broker of record” of all disciplinary actions relating to licensees associated with that broker’s firm, including complaints, orders, limitations, suspensions and revocations. Statutory change required.

Modifying behavior:

  1. Require professional etiquette training as a condition of WRA membership, using the Pathways of Professionalism as the training foundation. NAR approval required.
  2. In cooperation with UW-Madison and/or other Wisconsin institutes of higher education, create an education course on interpersonal behavioral training in business settings.

The task force is in the process of refining and sequencing these and other recommendations for the WRA board of directors’ consideration in August. As you can see, many ideas would require new state laws and waivers from current NAR membership policies, both of which could prove very difficult to obtain. 

Attempting to change professional behavior in a dynamic and diverse marketplace is challenging to say the least. Some ideas may require continuous change before the right approach is found. But improving professional conduct is the essential work of any association, so try we must. As Albert Einstein once said: “In the middle of difficulty lies opportunity.” But there will be resistance, even among our own members. We’d do well to remember that Einstein also said: “What is right is not always popular, and what is popular is not always right.” 

Copyright 1998 - 2024 Wisconsin REALTORS® Association. All rights reserved.

Privacy Policy   |   Terms of Use   |   Accessibility   |   Real Estate Continuing Education