Valuations aren’t just for businesses preparing to sell. They’re a strategic tool to help MLSs make informed decisions, plan ahead, and uncover areas where they can grow stronger. Whether you’re considering a change or just trying to run smarter, knowing your value is essential.
The conversation around an Open MLS model is gaining traction, particularly among real estate professionals who hold active licenses but are not members of local, state, or national REALTOR® associations. These licensee-only practitioners represent a largely untapped market for MLS growth. By quantifying this opportunity, MLSs can make informed business decisions about adopting an Open MLS strategy.
One of the best places to learn from fellow educators and education consultants is to attend The Bringing Educators & Associations Together for Success (BEATS) Conference. The BESTS conference is the premier event of the year for Real Estate Education Directors, Event Planners, and Speakers. Designed to foster collaboration, innovation, and professional growth,
NAR membership trends have historically followed the economy and the strength of the overall real estate market. As shown in the attached chart, NAR experienced significant membership growth following the market crash of 2008 to 2010 and continued on that growth trajectory until recently when the real estate market slowed significantly because of high interest rates and more limited buyer demand. While there have been minor decreases in membership since 2023, we hypothesize that these declines are more likely due to limited market opportunities and retirements rather than the rise of Open MLS subscription offerings.
For decades, real estate associations have traditionally owned and operated MLSs, providing brokers with access to property data while generating revenue from subscription fees. However, a growing movement is challenging the status quo, advocating for brokers—who supply both the data and the subscriber base that powers MLSs—to have a greater stake in ownership and profitability.
Multiple Listing Services (MLSs) have long operated under a standard subscription model in which subscribers pay a flat rate per agent, regardless of the size of the brokerage they belong to or the revenue the brokerage contributes to the MLS. This pricing structure is designed to ensure equal access to the database for all real estate professionals but does not recognize or reward the revenues delivered to MLSs from larger brokerage firms.
The fear of an Open MLS is largely unfounded. The experience of states that have embraced this model proves that associations can thrive without requiring NAR membership for MLS access. By focusing on value-driven membership, enforcing professional standards through MLS regulations, and embracing industry evolution, associations can secure their future while fostering a fair, competitive market for all licensed professionals.
As MLSs across the country consider consolidation to strengthen their services and expand their reach, it is critical to provide tangible evidence of excellence in service delivery. The WAV Group Customer Index Survey offers a powerful tool for MLS leadership looking to showcase their strengths in technology, support, training, responsiveness, and data quality. For an MLS considering a merger or partnership, leveraging the survey results can build confidence and demonstrate your ability to deliver exceptional MLS services.
This move is part of Constellation Real Estate Group's ongoing investment in innovative solutions tailored to customers' evolving needs.
With the removal of compensation from the MLS and so much uncertainty in real estate, MLSs must decide what components of their value proposition to focus on to step up their game and communicate the tangible benefits they deliver. MLSs must lean in to find AI tools that make the jobs of agents easier and more productive. They must also remember that all agents are not created equal. Providing a choice with MLS systems, the core tool offered by MLSs is one significant way to ensure you are meeting the diverse needs of your MLS customers. True MLS of Choice, however, isn’t [...]
In the real estate industry, we thrive on connections – between agents, clients, and data. For MLSs, seamless data sharing isn't just a convenience; it has become necessary to stay competitive as geographic borders disappear, creating an even more interconnected marketplace. Even with the reduction of MLSs across America, overlapping market disorder continues to plague data management for brokers spanning multiple markets. MLSs can better serve their broker clients by fulfilling the need for efficient tools to break down data silos and deliver access to broader listing pools. Traditional data-sharing models have often been a roadblock. Costly, time-intensive data-sharing connections [...]
With the new focus and discussions about offering MLS access to all licensees, due in large part to a series of lawsuits, many associations and MLSs are building out their paths for moving forward to make MLS accessible to all licensees within their state. While many are building pricing strategies that offer MLS services to REALTORS® and licensees either at parity or with a slight member discount to REALTORS®, others are going in the opposite direction.
