Case Studies
Minneapolis Area Association of REALTORS®
Gaining Visibility in New Communities: Dues Assistance and Networking
Summary
In an effort to achieve a more multicultural membership and offer greater opportunities to new members, the Minneapolis Area Association of REALTORS® in 1988 established the Minority Dues Assistance Program and the Multicultural Network of Real Estate Professionals. The number of Dues Assistance recipients rose from five in 1988 to 62 in 2002. The thriving program draws 40 to 50 members to its monthly meetings for networking opportunities and guest speakers, and greatly enhances the Association’s visibility in communities of color.
Background
Minneapolis became vastly more ethnically and racially diverse in the 1980s. The city’s minority population increased by nearly 32,300 during that decade and was 21.6 percent of the total in 1990. The trend continued through the 1990s, and by 2000, the demographic breakdown was 65.1 percent white, 18 percent African American, 6.2 percent Asian/Pacific Islander, 2.2 percent American Indian, 4.4 percent two or more races, and 4.1 percent “other” race.
Additionally, 7.6 percent of residents identified themselves as Hispanic. A multicultural population meant a new crop of homebuyers. According to Mark Allen, CEO of the Minneapolis Area Association of REALTORS® (MAAR), 40–60 percent of the residents within African American, Asian,Hispanic, and American Indian communities own homes.
Eventually the goals of MAAR’s multicultural programs would expand to include educating potential minority homebuyers. In the 1980s, however, the Association’s goals were to establish programs to recognize minority brokers and help them get started, through continuing education and networking opportunities.
What the Association Did
The chair of the Association’s Equal Opportunity Committee in 1987 was Jean Leake, an African American broker and business-owner. She and several other committee members came up with the Minority Dues Assistance Program and the Multicultural Network of Real Estate Professionals (MNRP). After six months of planning—committee meetings, staff input on how best to implement the programs, and a review of the programs by legal counsel—the MAAR Board of Directors approved both programs.
Available to African American, Hispanic, Asian, Pacific Islander, American Indian, and Alaskan Native applicants, the Minority Dues Assistance Program covers the first-year annual membership fee ($99). The program also covers the cost of up to 15 hours of MAAR onsite continuing-education credits during the first year of membership ($85; members must take 30 hours of continuing education every two years).
Minority Dues Assistance recipients pay the $84 annual membership fee to the NATIONAL ASSOCIATION OF REALTORS® and the $130 annual membership fee to MAAR, as well as a $50 new-member application to MAAR. Recipients are also required to attend an orientation program and at least one meeting of MNRP.
In 2004, MAAR increased the number of dues assistance grants from 75 to 100 per year. MNRP consists of REALTORS® , mortgage bankers and brokers, appraisers, loan officers, inspectors, closers, and other real estate professionals They meet regularly at MAAR’s offices to enhance their marketing skills, discuss a broad range of issues and programs of particular interest to multicultural members, and develop a strong multicultural support system. They also participate in community activities, such as local housing fairs. All real estate professionals, regardless of ethnicity, are welcome at the free-of-charge meetings, which feature at least one guest speaker. Recent speakers have included the administrator of the Minneapolis Public Housing Authority’s homeownership programs, a mortgage lender, a housing inspector, a chamber of commerce representative, an information-technology professional, and a financial planner.
Bill Gerst, MAAR’s vice president of public affairs, estimates that the Association has spent $183,500 on the Minority Dues Assistance Program and MNRP since 1988.
The staff spends about three hours processing each Dues Assistance application, which includes determining approval, getting notice to the member, applying education credits, and billing. In 2004, MAAR hired an additional staff member to provide administrative
support to MNRP and the Minority Dues Assistance Program.
International Program: In 2004, MAAR launched its International Program, consisting of three components:
- An International Council that hosts events, informational programs,and networking opportunities with others interested in international business opportunities
- A relationship through NAR’s Ambassadorship Program with Thailand, to mentor that country’s development of an organized real estate market
- International Resource Services, providing MAAR members with multilingual booklets, classes, and tools.
Outcomes
Since the inception of the Minority Dues Assistance Program in 1988, a total of 434 MAAR applicants have received scholarships. “Without question, there are significantly more minority members than in the past,” says Mark Allen. Members of color have chaired committees and served on the Executive Committee and Board of Directors.
Today MNRP is a vibrant community presence, participating in:
- A KMOJ-FM (Twin Cities community radio) Public Policy Forum discussing homeownership and wealth creation
- A task force for the Urban Coalition’s 50/30 Home Ownership Initiative, which seeks to increase homeownership among 30-year-old employed heads of households in communities of color to 50 percent by 2010
- The 19th annual Juneteenth celebration, commemorating African American freedom and emphasizing education and achievement
- The Gathering, a two-day expo in support of women of color, which attracted 40,000 people in 2001
- Housing fairs, one at the invitation of St. Paul mayor Randy Kelly, intended to educate people, especially from ethnic minority groups, about home ownership
- The Emerging Markets Homeownership Initiative (EMHI), charged by Governor Tim Pawlenty to increase the homeownership rate of emerging market populations in the state of Minnesota.
"People want the option of working with people who look like themselves,” says Cassandra Gooden. “What our community in Minneapolis realizes is that we need foot soldiers out there meeting people at the ground level.We have to serve the community, and we can make a difference, educating people about home ownership, which creates wealth in the family." Plus, she points out, MNRP’s community outreach has boosted members’ business.
Contact
Mark Allen, Chief Executive Officer952/988-3134
marka@mplsrealtor.com
www.mplsrealtor.com
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