Zillow Gains More Support for New Listing Policy

Zillow is continuing to win industry approval for its new policy barring property listings that are publicly marketed but withheld from the MLS and IDX feeds.

West USA Realty, an Arizona-based regional real estate brokerage with more than 3,000 agents, announced its support for Zillow's new listing standards this week. It is the third brokerage to endorse the policy change. 

What West USA had to say: "We believe that providing our clients with the most accurate and comprehensive information is essential to their success in the real estate market," said Nick Weitekamp, executive vice president at West USA Realty.

"By aligning with Zillow's pro-consumer listing access standards, we're reinforcing our responsibility to ensure sellers receive maximum visibility and reach the widest possible audience, and that buyers have a clear understanding of their choices. This commitment to transparency aligns perfectly with our promise to deliver exceptional service to both buyers and sellers alike in Arizona." 

A growing alliance: West USA Realty's statement of support follows similar endorsements from NextHome and eXp Realty. Zillow unveiled its new listing policy on April 10, describing it as "our implementation of the Clear Cooperation Policy" — NAR's rule requiring listings to be submitted to the MLS within 24 hours of being publicly marketed — and a way to "create an even playing field." 

"This policy is designed to ensure both consumers and agents have equitable, timely access to real estate information — supporting and protecting a more open and competitive housing market," Zillow said when announcing the updated listing standards. The changes take effect in May.  

Returning to a 'single-search experience': Zillow is also changing how it displays some listings. For listings in markets where the local MLS has dropped (or never adopted) commingling rules, the search portal has started to phase out its two-tab feature that separates properties listed on the MLS from those that are not. 

"Zillow has long advocated against the no-commingling rule," said Matt Hendricks, vice president of industry affairs at Zillow. "Consumers want and expect a single-search experience, where all available homes for sale can be viewed seamlessly. We applaud the many MLSs that have revoked the no-commingling restriction, and we're excited about enhancing the search experience to reflect this progress as we expand single search on a by-market basis."

What is 'commingling'? The rule, which the National Association of Realtors issued in the 1990s, requires MLS listings to be displayed separately from non-MLS listings. NAR has said the rule is optional and implementation is up to the local MLS, noting in March that around 29% of MLSs do not follow the policy.

Zillow's display change means that home shoppers will be able to see for-sale-by-owner and other types of off-MLS listings alongside listings shared via IDX feeds for some markets. The two-tab feature was a key part of the court battles between Zillow, NAR and Real Estate Exchange (REX). 

REX, a low-fee brokerage that marketed directly to consumers instead of using the MLS, claimed the two-tab display obscured its listings and hurt its business. The firm was ultimately unsuccessful in convincing a judge despite support from the DOJ.