CoStar CEO Andy Florance has taken a strong stance against Zillow’s recent decision to limit certain property listings. He argues that this move is more about Zillow’s self-interest than fairness in the real estate market. According to Florance, if Zillow restricts access to certain listings, homeowners can still showcase their properties on Homes.com and other popular platforms, which collectively attract over 418 million visitors each month.
Zillow’s new policy comes in response to a growing trend of listings that are publicly marketed but not included in Multiple Listing Services (MLS). Errol Samuelson, Zillow’s top industry officer, emphasizes that a listing marketed to buyers should be available to all potential buyers. Research supports this; Zillow and Bright MLS found that off-MLS listings can cost homebuyers thousands of dollars. This practice also disproportionately affects sellers in communities of color.
Despite these concerns, Redfin CEO Glenn Kelman has backed Zillow’s approach. He believes that all buyers deserve to see all available listings. Redfin has announced that it will not display any listings that were marketed before being shared through MLS to ensure transparency.
Florance’s message to real estate agents is clear: they should consider Homes.com as a "friendly" alternative that keeps their information prominent. He argues that Zillow’s model diverts leads away from agents, hinting that the move restricts competition rather than promoting consumer welfare.
The debate touches on the broader context in real estate. The Clear Cooperation Policy, promoted by the National Association of Realtors, aims to ensure that listings are promptly submitted to MLS. This policy has sparked differing opinions, as some believe that it promotes fairness, while others, like Florance, call it a move that threatens agents’ independence.
The conversation around these policies is heated, with various stakeholders weighing in on the implications for the industry. Realtor.com has also noted that they are considering their position on this issue, supporting the idea that sharing listings benefits all parties involved.
As real estate trends evolve, the impact of such policies on sellers and buyers remains a critical topic. For agents navigating these changes, understanding market dynamics and adapting to new policies will be key to success.
To learn more about the impacts of listing services on housing prices, check out this report from the National Association of Realtors.
Check out this related article: How Marjorie Taylor Greene Cashed In: The Stock Purchase That Coincided with Trump’s Tariff Pause and Market Surge
Source link