Last Fall the National Association of Realtors adopted MLS Statement 8.0. Otherwise know as the Clear Cooperation policy. Which has since been adopted by the California Association of Realtor’s and all major Multiple Listing Services, including our local MLS, MLS Listings Inc. Who adopted the policy change on April 15th, 2020.
MLS Statement 8.0
“Within 24 hours of marketing a property to the public, the listing broker must submit the listing to the MLS for cooperation with other MLS participants. Public marketing includes, but is not limited to, flyers displayed in windows, yard signs, digital marketing on public facing websites, brokerage website displays (including IDX and VOW), digital communications marketing (email blasts), multi-brokerage listing sharing networks, and applications available to the general public.”
Their rationale in adopting this new rule is that;
“Distribution of listing information and cooperation among MLS participants is pro-competitive and pro-consumer. By joining an MLS, participants agree to cooperate with other MLS participants except when such cooperation is not in their client’s interests. The public marketing of a listing indicates that the MLS Participant has concluded that cooperation with other MLS participants is in their client’s interests. This policy is intended to bolster cooperation and advance the positive, procompetitive impacts that cooperation fosters for consumers.”
While we don’t disagree with the rationale outlined above, we do disagree with it’s implementation. This is because our primary responsibility is to our clients. In which to whom we have a fiduciary duty. A duty that is legally defined and punishable by a court of law if violated. A duty that a few in our industry unfortunately don’t take seriously. We believe this new rule limits the way in which we can best serve our clients. Therefore impeding our fiduciary duty.
For example, each property & client is unique. Each meriting a custom tailored marketing strategy. A property may be a turn-key masterpiece that is worthy of worldwide circulation. Or it may be in such disrepair that only a limited pool of contractors & investors would take interest. Perhaps you want to test the market quietly and discreetly. So that if the demand isn’t what you’ve hoped, you can make adjustments as needed before it’s broadcast to the world. Or perhaps you live in a small community, where word travels quickly, and you personal situation demands discretion.
We could go on, but for now we’ll just end by reaffirming our duty as a fiduciary. To always put our clients needs above all else. While acknowledging begrudgingly, that sometimes rules and adjustments have to be made because a few bad apples spoiled the bunch.
