According to the email obtained by HousingWire, MRED stated that based on Zillow’s policy, “certain PLN listings [may] not be displayed on Zillow’s property search websites.”
“MRED has made it clear to Zillow that selectively excluding listings may violate MRED’s rules, as well as the terms of Zillow’s license agreement with MRED which requires Zillow to access and display all licensed listings without bias or restrictions,” the email stated.
Zillow maintains that no notifications about potential listing policy violations have been sent to agents in the Chicago area, as the listing access standards policy is not yet live in the Chicago metro area.
“Chicago is one of the very last markets Zillow’s Listing Access Standards have not yet launched in due to the unique situation of MRED’s own private listing network,” a Zillow spokesperson wrote in an email. “We have been attempting to work with them since the spring and have not yet sent listing access violations in MRED. This is a play for MRED to protect its own private listing network. Hidden listing schemes disadvantage sellers and buyers, and that’s what this is. Additionally, the data shows 30% of potential buyers searching in Chicago are from outside the area and both buyers and sellers are missing out on these opportunities.”
So far, Zillow said its listing access standards policy is live in 500 MLSs across the country.
On Tuesday, MRED CEO Rebecca Jensen told HousingWire that the MLS sent out the email after receiving reports that some managing brokers had been informed their active listings may not appear on Zillow if they had previously been in MRED’s PLN.
“We have confirmed directly with Zillow that this policy has not been implemented in MRED’s coverage area,” Jensen wrote. “At this time, Zillow continues to display all active listings from MRED.”
MRED and Jensen would not elaborate on what would happen if they deemed Zillow was violating the terms of its license agreement.
Thad Wong, the CEO of Compass-owned @properties Christie’s International Real Estate, who was a recipient of this email from MRED, told HousingWire that he was proud of MRED for wanting to protect its PLN.
“MRED is doing what great Chicago institutions do, stand up for its professionals. By defending seller choice, MRED is preserving every homeowner’s right to choose how their property is marketed and sold. While some MLSs have chosen to align with portals that promote a one-size-fits-all model, MRED is championing innovation, entrepreneurship, and competition,” Wong wrote in an email. “Those are the qualities that create better outcomes for home owners.”
MRED launched its PLN several years ago after survey feedback from subscribers found that many were frustrated by the number of pocket listings and sales occurring. Under MRED’s policies, a property had to be listed on the MLS within 24 hours of it being publicly marketed, but agents and sellers had the option to put it on a MRED’s private network, which allows other MLS subscribers to see the listing, but it does not syndicate it, allowing the seller more control over how the listing is marketed.