Antitrust Scrutiny Intensifies Over Off-MLS Listing Practices

Antitrust Scrutiny Intensifies Over Off-MLS Listing Practices

The debate regarding off-MLS listings has escalated from a disagreement over data points to a subject of federal inquiry. Lawmakers in Washington are now demanding answers from major real estate players regarding the impact of private listing networks on market competition and consumer outcomes.

The House Judiciary Committee’s antitrust subcommittee recently sent letters to Compass, Inc. and MRED, requiring executives to brief staff on their nationwide private listing partnership. Separately, Senator Elizabeth Warren requested detailed information on the partnership’s expansion, citing concerns regarding hidden inventory, pricing transparency, and fair housing risks.

Amid this regulatory scrutiny, conflicting data has emerged regarding the financial impact on sellers. Compass released an analysis of 70,809 closed transactions listed between April 2025 and March 2026. The company contends that homes utilizing a phased marketing strategy—spending time as a “Coming Soon” or “Private Exclusive” before hitting the MLS—sold for 4.6% more and 34% faster than those listed immediately on the open market.

Conversely, Zillow Group, Inc. published research covering more than 15 million sales from 2023 through 2025 that suggests a significant downside to keeping listings off the market. Zillow’s study found that off-MLS homes typically sold for 1.3% less, amounting to a collective loss of $1.36 billion for sellers. The report noted that lower-priced homes and properties in communities of color experienced steeper discounts compared to those in majority-white neighborhoods. Zillow also identified that dual agency situations, where one agent represents both sides, resulted in $1.49 billion in combined losses for sellers.

This divergence in findings mirrors broader independent research, such as an analysis by Bright MLS and Drexel University, which previously determined that MLS listings yielded roughly 17.5% more than comparable off-MLS sales. As lawmakers investigate whether private listing arrangements insulate brokerages from competition, the industry continues to grapple with differing narratives on data transparency.

Market Data: Compass, Inc. (COMP) is currently trading at $12.60, down 1.83% from the previous close, with a market capitalization of approximately $8.51 billion. Zillow Group, Inc. (Z) is trading at $33.16, a decline of 0.57%, with a market cap of about $7.46 billion.

Source: original release

What to watch

• Deadlines for Compass and MRED to respond to Congressional inquiries (August 5 for the House; August 21 for Senator Warren).
• Further regulatory action or hearings from the House Judiciary Committee regarding antitrust concerns.
• Updates regarding the national expansion of private listing networks and broker-ownership models.