realestate

NWMLS pushes back against Compass's restrictive listing practices

MLS CEO counters Compass' Robert Reffkin, saying private networks benefit brokerages, not consumers.

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battle is brewing in the real estate world, with Compass CEO Robert Reffkin taking aim at Northwest Multiple Listing Service (NWMLS) for its stance on private listings. At the heart of the dispute are rules that prohibit off-market listings, which Reffkin claims limit seller choice and restrict access to the market. NWMLS, however, sees these rules as a necessary safeguard against the "gatekeepers" of property listings – large brokerages like Compass.

    NWMLS President Justin Haag fired back at Reffkin's criticism, arguing that private networks are designed to benefit brokerages, not consumers. In a statement, Haag emphasized the importance of cooperation and transparency in the real estate industry, stating that MLS rules have been in place for over 40 years to ensure that all property listings are shared with the public.

    Reffkin's accusations against NWMLS are part of a larger debate about the role of private networks in the real estate market. Some brokerages see these networks as a way to give sellers more control and flexibility, while others argue they create an uneven playing field and limit access to information for buyers.

    NWMLS has declined to adopt rules that would allow off-market listings, which Haag sees as a misguided attempt by large brokerages to entrench themselves as gatekeepers of property listings. He warns that the push for private networks could lead to the "dismantling of the real estate marketplace" and perpetuate inequities in the housing system.

    The feud between Compass and NWMLS has taken a new turn, with a website appearing online that seeks contact information from Washington homeowners who believe they were damaged by NWMLS' rules. The site, dubbed Washington Homeowner Rights, is linked to Compass and suggests that homeowners may be entitled to compensation for losses incurred due to the MLS' policies.

    NWMLS prohibits pre-marketing and off-MLS marketing, which Haag argues can lead to longer days on market and price reductions that hurt sellers' bottom line. The website's language echoes Reffkin's talking points, fueling speculation about a potential class-action suit against NWMLS.

Northwest Multiple Listing Service officials confront Compass over restrictive listing policies.