Zillow’s new listing access standards policy, which mandates that publicly marketed listings be entered into a multiple listing service (MLS) and published on Zillow within one business day, has drawn sharp criticism from Andy Florance, CEO and founder of CoStar Group and CEO of Homes.com.
Under the new policy, any listing that isn’t entered into the MLS and made viewable on websites using IDX or VOW data feeds within 24 hours of being publicly marketed will be prohibited from appearing on Zillow.
Zillow’s stance on ‘Delayed Marketing’
However, Zillow has clarified that delayed marketing exempt listings — created under the National Association of Realtors’ Multiple Listing Options for Sellers policy and intentionally withheld from IDX feeds and syndication for a specified period — are permitted and won’t be blocked.
In contrast, listings shown on a brokerage’s private listing network would be disallowed if that network is promoted to consumers through the firm’s public website.
Zillow says the policy is designed to improve transparency and ensure fairness by making listings accessible to all buyers and agents.
Move is about ‘control, not fairness’
But Florance believes the move is less about fairness and more about control.
“Last week, Zillow banned the first agent’s listing who hadn’t submitted their listing to Zillow within 24 hours of marketing it,” Florance wrote in a LinkedIn post. “Zillow demands all your listings immediately and then takes the leads generated, selling them to other agents.”
Florance went on to argue that the policy’s intent is undercut by a loophole; listings submitted directly to Zillow are exempt.
“While Zillow preaches they are protecting the industry by requiring submission of listings to the MLS within 24 hours of public marketing, in fact, their new rule does not apply to listings directly submitted to Zillow, and Zillow alone,” he wrote.
Florance also said Zillow’s former CEO Rich Barton — speaking at a recent Inman Connect conference — described Redfin and Realtor.com as “great partners.”
He suggested these alliances resemble “an anticompetitive cartel,” and cited Redfin quickly announcing it would adopt similar listing standards.
“How do agents and brokers keep earning commissions when Zillow aggressively holds the reins over four major real estate portals?” Florance asked. “Zillow is consolidating power over listings, buyer-agent commissions, and now, listing-agent commissions. How is this even legal?”
Florance positions Homes.com as the agent-friendly alternative.
“Homes.com is now the only agent-friendly real estate portal committed to ‘Your Listing, Your Lead,’” he said. “We don’t take referral fees from your commissions, we don’t sell your leads, and we never compete with you for exclusives.”
In response to Zillow’s first listing ban under the new policy, Florance said Homes.com provided free promotional support for an affected listing that led to 10,000 views.
“On Friday when we learned Zillow had banned an agent’s listing, we boosted it for free on Homes.com, providing enhanced exposure and advertising all over the internet,” he said. “I commend the agent that is standing up to Zillow’s outrageous bullying and intimidation.”