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OB Jacobi: ‘NAR needs to get out of the MLS business’

by Seattle Agent

Windermere Real Estate Co-President OB Jacobi released the following statement regarding the National Association of REALTORS’ control over Multiple Listing Services, including the Clear Cooperation Policy and recent lawsuits:

“Recent events surrounding private listing networks and the National Association of REALTORS’ Clear Cooperation Policy have made one thing clear to me: NAR needs to get out of the MLS business. That may sound bold — and it’s probably not a position the organization will welcome — but I believe much of the mess we’ve experienced in recent months could have been avoided if MLSs had the power to govern their own rules.

Over 90% of the Multiple Listing Services around the country are Realtor-owned and operated and must follow overarching policies and rules set by NAR, such as CCP. By contrast, the Northwest Multiple Listing Service, which covers most of Washington State and parts of Oregon, is a broker-owned, not-for-profit organization that operates independently from NAR. Its policies and rules are developed by committees, task forces, and experts and reviewed by elected board members for the benefit of its 30,000-plus members and their clients. And it is for this reason that the NWMLS was one of the only MLSs in the country not included in the NAR antitrust lawsuit or settlements.

The fallout of these lawsuits and the confusion NAR caused by modifying CCP earlier this year, calls into question their fitness to dictate MLS rules. MLSs have become too complex for them all to have blanket rules, and they should be trusted to figure out what’s best for their membership and their communities.

This isn’t meant to be a bash on NAR — I genuinely believe they provide a great deal of value to our industry. But they should focus on their strengths: education, research, member benefits, and especially advocacy. The value of NAR’s lobbying efforts in Washington, D.C., cannot be overstated.

But MLSs are just too important to the health of our industry — and to the home buying and selling process — to keep them under NAR’s control. The more NAR tries to jerry-rig the MLS process, the more confusion they cause. And that confusion opens the door to anti-MLS brokerages pushing private listing networks that could set our industry back decades. Not to mention the lawsuits that follow when they don’t get their way.

NAR, I really do appreciate everything you do for our industry. But when it comes to managing MLS rules and policies, it’s time to relinquish control and focus on what you do best. That shift would be a true win-win for everyone.”

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