O
n the Real Estate Insiders Unfiltered podcast, Zillow's Chief Industry Development Officer Errol Samuelson defends the company's decision to implement the National Association of Realtors' (NAR) Clear Cooperation Policy. The policy requires listings to be widely shared via the MLS or face exclusion from Zillow. Samuelson believes this move is "pro-consumer" and provides informed choice for sellers.

    The NAR's decision on CCP "proves the point" that transparency is essential, according to Samuelson. He cites studies suggesting off-MLS listings typically take longer to sell and may sell for less. Zillow's position is that more transparency is beneficial, and they can work within the new policy.

    Samuelson acknowledges there are legitimate reasons for private listings, such as celebrity clients. However, when brokerages market homes to small groups without making them widely available, it's considered "fundamentally bad" for the industry, causing consumer harm. Zillow's policy will not affect truly private listings or delayed marketing/coming soon listings if they're in the MLS and publicly displayed.

    The portal aims to restrict selective marketing, where brokerages initially market listings privately before listing them on the MLS. If a listing violates Zillow's standards, it won't appear on the platform until the seller's brokerage agreement expires or the property is relisted at a different brokerage.

    Samuelson disputes claims that Zillow's new standards are anticompetitive and an abuse of monopoly power. He argues that the criteria for displaying listings are objective and don't discriminate against any brokerage, which is allowable under IDX rules.