2025 General Membership Meeting Book
Welcome to the General Membership Meeting April 23 rd , 2025 10:30AM
Good Morning Everyone! READING OF ANTITRUST STATEMENT The Coastal Association of REALTORS® thanks you for your participation in the meeting. As a reminder, all Association conferences, meetings, continuing education classes or any other professional or social gatherings must be conducted in full compliance with federal and state antitrust laws. Discussion on any topic suggesting an intent to restrict competition or fix prices is improper. These discussions and topics include individual company policies, pricing, business and customer strategies and practices, including commission amounts or splits. If inappropriate discussions occur at any Association meeting, continuing education class or any other professional or social gathering, all members present must openly disassociate themselves from such discussions. The instructor or Chairman must make every effort to immediately end any such discussions. If such discussions occur at an informal or social gathering, please bring it to the immediate attention of Association staff.
Honoring our Veterans & Pledge of Allegiance Honoring Our Veterans & Pledge of Allegiance
Honoring Past Presidents Thank you for your leadership!
A Moment of Silence Remembering Members who have passed
Celebrating Our REALTOR® Emeritus Members Emeritus Members Present Please Stand
CONGRATULATIONS Mike Weisner 50-Year REALTOR® Club!
CAR Membership Snapshot • 1,068 REALTOR® Members
• 900 Sentrilock Users • 117 Clerical Members • 109 Affiliate Members from 70 Offices • 169 Brokerage Offices
NEW CONSUMER NOTICE FORM
Ocean City, Maryland 2025 Changes to Code Impacting all Rental Units Plus Specific Occupancy/Rental Restrictions in R1/MH Zoning Districts
2025 First Quarter Education Highlights • 26 Educational Events • 446 Attendees • In-person & Hybrid • Lunch & Learns
FORWARN Safety APP Member Safety Matters
1,068 ACTIVE REALTOR® Members 362 Current Active FOREWARN Users 457 Members have Transactions in 2025 100% Participation Encouraged Questions? Contact Bonnie at CAR
CAR Investment Unit 107
State Appointment to MREC Announcement Congratulations, Joe Wilson!
Maryland State Legislative Session Recap & & Local Government Updates Presented by: Hunter Isaac, Government Affairs Director Sterling R Major Investor 2025
Maryland State Legislative Session Recap
Let’s start with the results of the General Assembly’s 2025 Legislative Session. From day one, it was clear that all legislation would be evaluated through the lens of the FY26 Budget and the Budget Reconciliation Financing Act (BRFA). Maryland was facing a $3.3 billion deficit before the Session began on January 8, with the biggest expenditure going toward education (Kirwan Initiative) and Medicaid. By April 7, the General Assembly passed a balanced budget, using $1.6 billion in new taxes and fees, with the remainder made up through budget cuts. Some of the new measures include: • A 20-cent per page fee from the Maryland State Archives • A 6.5% sales tax on vehicles • A $5 fee on tires • Doubling vehicle title fees
• Sales tax expansion to vending machines • A 3% sales tax on web and IT services
Maryland State Legislative Session Recap
Even with the budget balanced, a Special Session looms, especially if federal workforce and spending cuts continue. A projected $280 million in lost income tax could result from those federal cuts alone. Delegate Christopher Adams shared during an April 15 Wicomico Delegation meeting that FY27 may face a $5 billion deficit. This situation is fluid, and our partners at Maryland REALTORS in Annapolis—along with me— are staying vigilant to protect your business interests and livelihood as REALTORS.
Maryland State Legislative Session Key Bills – Supported by Maryland REALTORS
HB0124 / SB0160 – Residential Property – Assignment of Contracts of Sale – Disclosure Requirements and Rescission This bill allows sellers or assignees to rescind a contract before closing if a sale is a part of a wholesale and entitles an assignee to a refund of any deposit if a sale is part of a wholesale and that is not disclosed. HB1466 / SB0891 – Accessory Dwelling Units (ADUs) This law promotes the development of ADUs on single-family detached lots. By October 1, 2026, local governments must pass laws permitting ADUs, while retaining authority over design standards. HB0972 / SB0680 – Real Estate Commission – Continuing Education Requirements Sponsored by Senator Carozza, this bill adjusts Fair Housing CE requirements to 2 hours (aligning with NAR), removes the need for state-certified trainers, and empowers local Associations like CAR to certify instructors.
Maryland State Legislative Session Key Bills – Opposed by Maryland REALTORS (All Failed to Pass)
HB0709 / SB0651 – Good Cause Eviction Would have required landlords to justify non-renewal of leases . HB0242 – Discrimination in Housing – Consumer Credit History Would have banned landlords from requiring credit checks on tenants. HB0087 / SB0132 – Short-Term Rental and Home Amenity Rental – Taxation & Regulation Would have allowed counties to regulate short-term rentals like hotels. We reviewed hundreds of bills this Session, and I again want to thank everyone on the Advocacy Committee for their time and insight. If you have any questions, feel free to reach out—I’m always happy to talk policy.
Legislative Committee Highlights
Every bill that impacts our industry is reviewed by the Maryland REALTORS Legislative Committee. Bills are categorized as: Support, • Oppose, Support or opposition comes with a rating of 1 to 5 to indicate how much advocacy is needed. I'd like to extend a heartfelt thank you to President-Elect Terrence McGowan and Board Member Tim Arnett, for their incredible work on this committee. Every Monday, they met with me to review and prioritize legislation. Their dedication, understanding of the Shore, and industry knowledge have been instrumental. • Monitor, or • No Position
Wicomico County Legislative Issues
• Adopted a bill to protect its commercial fishing industry, establishing a reconciliation board for Somerset’s “Right to Fish” law. • Perdue Agribusiness has a PFAS chemical leak near its facility. Homeowners in affected areas have been contacted and are receiving free water testing and purifiers. • Salisbury City Council passed a density amendment in the Central Business District, doubling allowable unit density from 40 to 80 units per acre. No parking requirement remains in place for new development. • Salisbury and Wicomico County will separate their Planning & Zoning Departments by late summer 2025. • The proposed FY26 budget decreases property taxes to $0.80 per $100 of assessed value. • Teachers' pension supplemental grant from the state is being halved.
Somerset County Legislative Issues
• Chapter 69 and Chapter 70 allow Somerset County Commissioners to impose a tax on property to pay for emergency services. • Teachers' pension supplemental grant from the state is being halved .
Worcester County Legislative Issues
County Commissioners are seeking to block the U.S. Wind offshore wind project by changing permitted land uses in West Ocean City to protect commercial fishing. Public hearing for the County budget: May 6 at 6 PM. County water/wastewater programs have an $8.5 million shortfall. Rate increases are under review. Berlin hired a new Planning & Zoning Director and is looking to expand development.
Worcester County Legislative Issues Ocean City Ocean City passed short-term rental reforms in R-1 and MH districts: o In 2025–2026: minimum stay is 5 consecutive nights. o In 2027: minimum stay increases to 31 consecutive days. o No new licenses will be issued in R-1/MH zones through December 31, 2025. o Occupancy: 2 people per bedroom + 2, excluding children under 10. o Rentals must have a designated local contact within 60 minutes. o New enforcement and violation policies now apply. o “Family” redefined to no longer require blood or marital relation. OC Owner incentives: Full-time residents may qualify for tax rebates or waived permitting fees for property improvements. These are first-come, first-serve, so call The Town of Ocean City Office for details!
Maryland State Legislative Session Recap
Even with the budget balanced, a Special Session looms, especially if federal workforce and spending cuts continue. A projected $280 million in lost income tax could result from those federal cuts alone. Delegate Christopher Adams shared during an April 15 Wicomico Delegation meeting that FY27 may face a $5 billion deficit. This situation is fluid, and our partners at Maryland REALTORS in Annapolis—along with me— are staying vigilant to protect your business interests and livelihood as REALTORS.
Worcester County Ocean City Update
• On March 3, the City Council voted 4-3 to set a five-night minimum stay for short-term rentals located in the R-1 and MH districts for the 2025 and 2026 rental seasons, and a 31-night minimum stay beginning in 2027. • In March, days after the Ocean City Council passed an ordinance to restrict the length of stay for short-term rentals in the R-1 residential and MH mobile home zoning districts, a group of property owners launched a petition effort to bring the legislation before voters. • On March 10, City Solicitor Heather Stansbury accepted a petition from OCMD Property Rights, kicking off a 40-day countdown to collect signatures from 40% of the number of voters in the most recent election. As 2,476 people voted in the last election, the group had until April 21 to collect 991 valid signatures. • On April 21, the city clerk accepted the 331 pages of signatures that had been collected over the last 40 days. • While no timeline has been set, the Ocean City Board of Supervisors of Elections will now start its review of 1,327 names.
RPAC: Your Voice, Your Advocacy
Last August I did not know what RPAC was…….I soon learned that our best tool as a REALTOR association is RPAC – the REALTOR Political Action Committee. OUR REALTOR VOICE IS LOUD, STRONG and HEARD in Washington. I just attended my first RPAC Major Investor Dinner in March and learned so much from our speaker Dee Dee Miller who is assigned to Andy Harris via NAR. 23 of your fellow REALTORS at CAR have signed on as Major Investors for 2025 giving over $1,000 each to the cause. Grace Masten & Joe Wilson have each been named in the RPAC Hall of Fame for investing over $15,000 during their careers. I have signed on to be a major investor for 2025 as I truly believe in its value. Every RPAC investment, no matter how small, helps us advocate effectively—from D.C. to Annapolis to the Lower Shore. If you haven’t invested yet, I strongly encourage you to do so. I also encourage everyone to listen to the ADVOCACY SCOOP Podcast with Shannon McGahn and Patric Newton discussing what’s going on in Real Estate Legislation in DC that affects your business and your livelihood.
Three Way Agreement & Associations
The value of associations has been discussed a lot in the industry since I started at Coastal Association last year. As a newcomer to the area, and to the REALTOR® Association World, I cannot help but highlight the support you as a member have around you. You have an amazing local office staff, free required CE to members, free FORWARN to protect yourself in the field, our incredible charitable foundation giving to local charities and organizations that you all volunteer with, dedicated committees. Maryland REALTORS® , provides an incredible team of Advocates in Annapolis , a free legal hotline continuing education, leadership training, National Association of REALTORS has assisted Coastal with $30,000 in grants in 2025 which have be distributed towards the Ocean City Rental Change notifications and $7500 for Junior Achievement. I really do see the value of being a REALTOR® member within the three-way agreement between associations .
Thank you all for attending this year’s REALTOR® Fair . I’m truly honored to serve in this Association. When I moved to the Eastern Shore, I didn’t know a single person within 100 miles. But I’ve been welcomed with open arms, and for that, I’m incredibly grateful.
To the Advocacy Committee – thank you for your vigilance.
To Cameron Drew and Rob Payne, our Advocacy and RPAC Chairs – thank you.
To Bonnie, Kim, and Tiffany – thank you for everything you do behind the scenes.
To our Board of Directors and our President Lauren Bunting – we are fortunate to have strong leadership. And to Bernie – thank you for believing in me and giving me this opportunity.
I’ll be at CAR Booth 22, with our Maryland partners …. Maryland REALTORS ® , Bright MLS, and MD Dept of Housing and Community Development just around the corner.
Presented by: Hunter Isaac, Government Affairs Director Sterling R Major Investor 2025
Please Welcome Dr. Lisa Sturtevant , PhD — Chief Economist at Bright MLS .
Dr. Sturtevant is the only MLS-focused chief economist in the country. Lisa’s experience in economic, demographic, and housing market research spans more than 20 years. Lisa currently leads the research and forecast activities for Bright, serving as a thought leader on the housing market.
Housing Market Update What kind of spring market will it be? Coastal Association of REALTORS®
Lisa Sturtevant, PhD Chief Economist
April 23, 2025
Local Housing Market
Sales activity has been slow in the Maryland counties SussexCountytransactionsdrivingtheregion’syear-over-year increaseinclosedsales
Monthly Closed Sales, Del/Mar Coastal
Closed Sales, y-o-y change Q1 2025
2023 2024 2025
1,200 1,000 1,400 1,600
Market
Change
2018–2024 Range
Del/Mar Coastal +2.0% Worcester County, MD -1.0% Wicomico County, MD -9.0% Somerset County, MD -17.9% Sussex County, DE +6.4% BrightMLS +0.4%
800 600 400 200 0
Jan Feb Mar
Apr
May Jun Jul
Aug Sep Oct
Nov Dec
New pending sales are up seasonally though still lower than a year ago Wide swings in pending sales during the pandemic
New Pendings, Del/Mar Coastal
New Pendings, y-o-y change Q1 2025
2023 2024 2025
1,200 1,000 1,400 1,600
July2020
Market
Change
2018–2024 Range
Del/Mar Coastal -4.4% Worcester County, MD -8.1% Wicomico County, MD -22.7% Somerset County, MD -18.6% Sussex County, DE +1.8% BrightMLS -2.8%
200 0 400 800 600
April 2020
Jan Feb Mar
Apr
May Jun Jul
Aug Sep Oct
Nov Dec
Despite slower sales, home prices continue to rise Home prices rising faster in the region than in other parts of the Bright area
Median Close Price Q1 2025, y-o-y change
Change in Median Price, Year-Over-Year Change (%) Del/Mar Coastal
30%
Market
Change
Del/Mar Coastal +6.4% Worcester County, MD +7.5% Wicomico County, MD +9.8% Somerset County, MD +24.1% Sussex County, DE +4.7% BrightMLS +4.6%
25%
20%
15%
10%
5%
0%
-5%
2019
2020
2021
2022
2023
2024
2025
Prices for waterfront condos up fastest Single-family price growth in Sussex County has stalled
YTD 2025 Median Price (Change from 2024)
Worcester County Single-family $461K (+11%)
Wicomico County Single-family $300K (+8%)
Somerset County Single-family $200K (+5%)
Condo
$425K
(+8%) (+16%)
Waterfront Condo
$520K
Sussex County Single-family $500K (+1%) New Construction $536K (+2%)
Condo
$451K (+3%)
Waterfront Condo $643K (+34%)
Inventory has been rising but is still below pre-pandemic levels Condo supply has been increasing faster than single-family supply
Month-End Inventory, Del/Mar Coastal 5,000
Months of Supply End of Mar 2025 Market
4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 4,500
MOS
Del/Mar Coastal 4.1 Worcester County, MD 4.4 Wicomico County, MD 2.4 Somerset County, MD 6.5 Sussex County, DE 4.2 BrightMLS 1.9
2019
2020
2021
2022
2023
2024
2025
Homes are taking longer to sell across the Del/Mar Coastal region However, the pace of the market is still faster than historically
Median DOM Q1 2025 Market Del/Mar Coastal
Median Days on Market, Del/Mar Coastal
DOM
80 70 60 50 40 30 20 10 0
39 Worcester County, MD 37 Wicomico County, MD 38 Somerset County, MD 44 Sussex County, DE 41 BrightMLS 12
2019
2020
2021
2022
2023
2024
2025
There was a surge of listing activity in March Includes an influx of second/vacation properties
Monthly New Listings, Del/Mar Coastal
New Listings Q1 2025 , y-o-y change Market
2023 2024 2025
1,600
2018–2024 Range
March 2025 March 2018
Change
1,400 1,200 1,000
Del/Mar Coastal +11.0% Worcester County, MD +13.0% Wicomico County, MD -2.0% Somerset County, MD -3.3% Sussex County, DE +13.0% BrightMLS +3.2%
800 600 400 200 0
Jan Feb Mar
Apr
May Jun Jul
Aug Sep Oct
Nov Dec
DEL/MAR COASTAL
Weekly New Listings
Week Ending April 20, 2025
2021 2022 2023 2024 2025
400
300
200
100
0
Weekly Market Report
11
The Washington D.C. area has been hardest hit by Fed govt cuts Federal workers account for about 14% of all workers in the DMV
Federal Civilian Govt Employees as a Share of Resident Workforce
Estimates of Federal Government Workforce Reduction (as of April 14, 2025) National • 55,000 job cuts • 76,000 employee buyouts • 145,000 other planned reductions • ~12% of 2.4 million federal civilian workforce
Frederick County, MD Loudoun County, VA Fairfax City, VA
Fredericksburg City, VA Spotsylvania County, VA Prince William County, VA Montgomery County, MD Fairfax County, VA Washingon DC MSA Prince George's County, MD
13.9%
Calvert County, MD Falls Church City, VA Arlington County, VA Alexandria City, VA Washington, DC Stafford County, VA Charles County, MD
Source: The New York Times
0%
5%
10%
15%
20%
25%
Source: U.S. Census Bureau, 2023 American Community Survey
U.S. labor market is still resilient through March However, there are some signs of weakening economic conditions Monthly Change in Total U.S. Employment 1.0M
0.5M
228K
0.0M
U.S. Unemployment Rate 7%
6%
5%
4.2%
4%
3%
Jan2021
Jul 2021
Jan2022
Jul 2022
Jan2023
Jul 2023
Jan2024
Jul 2024
Jan2025
People are less likely to quit their jobs There has been a small increase in private-sector layoffs this year
U.S. Labor Market
Layoffs
Quits
140 130 120 110 100
90 80 70
Jan-21
Jul-21
Jan-22
Jul-22
Jan-23
Jul-23
Jan-24
Jul-24
Jan-25
Mortgage rates tend to track with the 10-year Treasury yield Bond yields have been volatile in recent weeks in response to Trump administration policies
30 yr Fixed Rate Mortgage
Federal Funds Rate
10-yr Treasury Yield
6 5 4 3 2 1 0 7 8 9
April 2025 6.7%
Jan-21
Jul-21
Jan-22
Jul-22
Jan-23
Jul-23
Jan-24
Jul-24
Jan-25
Source: Freddie Mac, Federal Reserve
Mortgage rates have come down some from the recent peaks Federal Reserve rate cuts have not translated into lower mortgage rates
30 yr Fixed Rate Mortgage
Federal Funds Rate
6 5 4 3 2 1 0 7 8 9
April 2025 6.7%
Jan-21
Jul-21
Jan-22
Jul-22
Jan-23
Jul-23
Jan-24
Jul-24
Jan-25
Source: Freddie Mac, Federal Reserve
The Federal Reserve signaled no rate cut likely at May meeting Balancing keeping inflation low, while maintaining a healthy labor market
Inflation Rate
Fed Funds Rate
10 9 8 7 6 5 4 3 2 1 0
Source: Bureau of Labor Statistics, Federal Reserve
Inflation has come down from its peak but not at Fed’s 2% target Tariffs risk sending inflation back up
10 9 8 7 6 5 4 3 2 1 0 Inflation Rate (%) Year-over-year change, Consumer Price Index
March2025 2.4%
Source: Bureau of Labor Statistics
What to watch in 2025?
Labor Market • Labor market is still resilient,
unemployment rate is still very low. • However, labor market conditions may be weakening with more layoffs, more turnover which could lead to slower economic growth. • The Washington D.C. area economy faces risk associated with changes in the federalgovernment which could impact homebuying in the Del/Mar Coastal region.
A spring housing market in the balance
Stock market declines
Lower rates
Consumer anxiety
More inventory
Weaker labor market
Where can you get all of this information?
Bright MLS Service Area
Del/Mar Coastal
What to watch in 2025?
What to watch in 2025? Inflation • Higher inflation expectations means pullback in the number of Fed interest rate cuts in 2025. • Consumers are feeling stressed by the cumulative impact of higher prices, leading them to feel less confident about their personal financial situations and making it harder to save for a downpayment. • Inflation could come down if economic activity cools.
What to watch in 2025?
Mortgage Rates • Rates have remained elevated for longer than buyers and sellers would like. • Rates likely will start to come down but they will be volatile from week to week, as the market reacts to economic and political factors. • Buyers may act opportunistically to jump on lower rates this spring.
Need more information? Contact us! research@brightmls.com Erica Plemmons Senior Housing Economist Lisa Sturtevant Chief Economist
Colby Stout Research Analyst
28
Market Data and Analysis from Bright Research and insights specifically designed to help brokers and agents be a resource to their clients, colleagues and communities: www.brightmls.com/research
24
SPRING FLING FUNDRAISER & AUCTION
Announcements Before We Head to the Fair: At check-in, you received a Passport Card/Agenda and a Fair Booklet in your bag. Be sure to write your name on your passport and use the vendor map to visit each booth. Vendors will stamp your passport as you go – and once it's completed, turn it in for your chance to step into the Money Machine filled with $ 1,000 in cash and other great prizes, including Board Bucks! Collect all 12 Board Bucks to be entered into the Grand Prize Drawing to be announced at the end of the fair.
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