Congress Probes Private Real Estate Listings

The debate surrounding off-MLS (Multiple Listing Service) private real estate listings has escalated to the United States Congress, with lawmakers initiating investigations into the practices of major real estate companies. On July 22, the House Judiciary Committee’s antitrust subcommittee sent letters to Compass CEO Robert Reffkin and MRED CEO Rebecca Jensen, requesting briefings by August 5 regarding their nationwide private listing network partnership. Chairman Scott Fitzgerald expressed concern that these networks might be used to limit competition and disadvantage consumers, specifically noting that private arrangements could incentivize agents to steer sellers towards private listings, enabling brokerages to represent both parties in a transaction. This move by the House subcommittee signals a significant federal interest in the transparency and competitive implications of these private listing arrangements.

Further intensifying the scrutiny, Senator Elizabeth Warren sent a letter on August 6 to Compass and MRED, seeking detailed information about their private listing network partnership and its national expansion. Senator Warren articulated concerns related to hidden inventory, diminished pricing data accuracy, potential fair housing risks, and market consolidation. She requested responses to her inquiries by August 21, indicating a broad range of potential negative consequences lawmakers are examining. The involvement of both House and Senate committees underscores the bipartisan nature of the concerns and the potential for legislative action or regulatory oversight.

Compass has actively defended its private listing strategy, citing internal data to support its claims of enhanced seller benefits. The company studied 70,809 of its own closed transactions listed between April 2025 and March 2026. According to Compass's findings, homes marketed through phased strategies, such as "Coming Soon" or "Private Exclusive" designations before appearing on the MLS, sold for an average of 4.6% more and 34% faster compared to homes listed directly on the open market. Dave Crosby, Compass Chief Data Officer, stated that this data is consistent and suggests that providing homeowners with marketing strategies to build interest and refine pricing before an MLS listing leads to higher sale prices. This data-driven defense aims to counter the criticisms leveled by regulators and competitors.

Conversely, Zillow's research presents a contrasting perspective on the efficacy and implications of private listings. In a comprehensive study analyzing over 15 million sales transactions from 2023 through 2025, Zillow concluded that homes intentionally kept off the MLS typically sold for approximately 1% less than comparable homes listed on the MLS. This finding directly challenges Compass's assertion of a significant price premium for off-MLS sales and suggests that broader market exposure through the MLS may lead to better outcomes for sellers. The discrepancy in findings between Compass and Zillow highlights the complexity of the issue and the differing methodologies and data sets used to evaluate the performance of private versus public real estate listings. The congressional investigations are likely to consider both sets of data as they seek to understand the full impact of these practices on the real estate market and consumers.