T
he housing market is poised for a comeback, but only if interest rates become more favorable for buyers and sellers. Despite an increase in available homes, not all listings may appear on the largest housing platform, Zillow, due to new rules requiring public marketing of listings within 24 hours through Multiple Listing Services (MLS). This change aims to eliminate barriers, bias, and backroom deals.

    Zillow's Vice President of Agent Success, Racquel Russell, believes that publicly marketed listings should be accessible everywhere. However, private listing networks have always existed, and some brokerages argue that Zillow is acting as a "gatekeeper" by enforcing its new standards.

    Compass, a real estate heavyweight, has filed a lawsuit against Zillow, claiming it's breaking federal antitrust laws. Compass employs a three-phased marketing strategy to avoid Zillow's 24-hour MLS requirement, which includes listing properties on their own website and other platforms before making them available on MLS.

    Zillow claims that private listings have caused sellers to leave over $1 billion on the table over two years, while Compass argues that Zillow is prioritizing its own interests as a for-profit company. Real estate professionals are divided on the issue, with some seeing it as a matter of transparency and others as a way for Zillow to maintain control.

    The new standards take effect as housing inventory in many cities returns to pre-pandemic levels. However, interest rates remain high, making it difficult for buyers to afford homes. The Federal Reserve's decision on interest rates will play a significant role in determining the market's future trajectory.