The way homes are bought and sold in the U.S. could change dramatically in the coming years if Compass CEO Robert Reffkin’s predictions come true. At the National Association of Realtors (NAR) annual conference, Reffkin shared bold ideas about the future of the Multiple Listing Service (MLS), a cornerstone of real estate in the U.S. He suggested that changes to industry rules, like NAR's Clear Cooperation Policy, and advancements in technology could redefine how real estate transactions are handled.

Here’s what you need to know about the debate and what it could mean for the future of real estate.

The Clear Cooperation Policy, a rule set by NAR, requires that listing brokers submit listings to Realtor-affiliated MLSs within one business day of marketing them publicly. The policy ensures all agents and consumers have access to a comprehensive database of homes for sale, promoting fairness and transparency.

• Critics like Reffkin argue that the CCP limits seller options, potentially violating antitrust laws by forcing listings into a centralized system.

• Supporters, including Zillow, argue that repealing the rule could lead to a fragmented market, where some brokers hoard listings to keep them in-house, reducing access for buyers.

Reffkin believes the future of MLS lies in a single, national database—and he predicts that Zillow will likely dominate this space. Zillow’s ability to operate as a broker in every state, without physical offices or agents, has given it significant leverage.

“Zillow is going to be the MLS,” Reffkin said, emphasizing that industry rules have enabled the company’s growth and success.

This comment sparked debate at the conference. While some view Zillow’s centralization as inevitable, others see it as a threat to the open, cooperative nature of the current system.

Despite the push for change, many experts at the conference highlighted the importance of the MLS as a transparent and unbiased marketplace.

1. Equal Access: Consumers and agents can see all available listings in one place.

2. Level Playing Field: Brokers and agents can cooperate, ensuring homes reach the widest possible audience.

3. Efficiency: The MLS keeps the U.S. real estate market one of the most efficient in the world.

Art Carter, CEO of California Regional MLS, emphasized the importance of preserving the MLS’s role in serving both consumers and agents. “We need to protect this beautiful thing we have,” Carter said.

Reffkin called for more flexibility in MLS rules, arguing that they should better reflect seller needs. He criticized policies that restrict listing agents from marketing their properties directly to consumers or that prominently display “negative” statistics, like days on market or price drops.

In contrast, Zillow’s Chief Industry Development Officer Errol Samuelson argued that transparency is key to maintaining consumer trust. He noted that hiding information from buyers could lead to legal risks and harm the overall real estate market.

• Access to Listings: A strong MLS ensures that you can see all available homes in one place, without jumping between multiple websites.

• Transparency: Clear rules help you trust the information you see, from listing prices to property histories.

• Maximized Exposure: The MLS ensures your property reaches the largest pool of buyers.

• Market Data: Transparency benefits sellers by providing accurate insights into pricing and demand trends.

The debate over the Clear Cooperation Policy and the role of the MLS is far from over. Industry leaders are divided on how to balance flexibility for brokers and agents with fairness and transparency for consumers.

While some, like Reffkin, advocate for fewer restrictions and more competition, others emphasize the importance of preserving the cooperative spirit of the MLS to maintain its value for all parties involved.

The real estate industry is at a crossroads. As technology advances and companies like Zillow grow in influence, the rules governing MLS and listing practices will likely evolve. For buyers, sellers, and agents, these changes could shape how homes are marketed, sold, and purchased in the years ahead. Staying informed about these developments is crucial to navigating the future of real estate successfully.