The 1970s was a thriving time for the real estate industry and new home construction. Production and custom builders were thriving, due to the fact that REALTORS® were bringing buyers to the new homes. The oil and gas industry was booming, and Denver was the gateway to the Rocky Mountains. The buyers who were purchasing new homes were individual’s relocating to the Denver area. While many REALTORS® were introducing buyers to these new homes, builders were somewhat flighty and finicky when it came to paying REALTORS® a commission. Some builders would pay a small commission here and there, and others would pay nothing. There were no rules and regulations and no guidelines to follow. It became apparent that something needed to be done to change the way REALTORS® were getting paid and to resolve problems that arose between the builders and REALTORS®. It was time to make a change, so change there was.
Three individuals and their spouses were very close friends, both in day-to-day business and socially. One was a REALTOR®, one worked for a home builder, and one worked for a new home builder magazine. One evening in 1982 these individuals got together for a potluck at one of the individual’s homes in Aurora, which had a hot tub. It was in the hot tub over a conversation that it was decided to form a committee to discuss what could be done so that builders and REALTORS® could come to an agreement regarding compensation.
There was a one-price constant policy whether a REALTOR® was involved or not. So it came to be that co-oping came into play where the REALTOR® had to sign in with the buyer at the new home sales site. This visit would remain good for a 30-day period. After the 30-day period, then the REALTOR® had to stay in touch with the on-site people.
A bank funded the cost for one BRC member, Linda Philpott, to travel the country and speak about the success that Colorado had between the Builders and REALTORS® and being paid a co-op. By the end of the 1990s, there was maybe just one builder in Colorado that would not co-op. It was at the end of the 1990s that the National BRC disbanded because the bank no longer had the funds to support this cause.