New Realtor Policy on Secret Listings: What You Need to Know

The National Association of Realtors (NAR) has just announced a significant update aimed at resolving the ongoing debate around "off-market" or "pocket" listings. Under the newly unveiled "Multiple Listing Options for Sellers" policy, sellers now have increased flexibility in how their homes are marketed, which may impact how you advise your clients.

What Has Changed?

Previously, the "Clear Cooperation Policy" required agents to list homes on Multiple Listing Services (MLS) within one business day of marketing them. This rule intended to enhance market transparency, limit secretive listings, and promote fair competition. However, it faced criticism from agents and sellers who valued more discreet marketing approaches, particularly for higher-end properties or those sensitive to privacy.

The revised policy retains the original intent but introduces an important new option: sellers can now opt for a "delayed marketing exemption." This allows sellers to briefly delay their home's appearance on widely-used public platforms like Zillow or Redfin, even though the listing will remain accessible to agents within MLS databases.

Key Details of the New Policy:

• MLS Presence Remains: Homes will still be listed on MLS databases accessible to agents, maintaining professional visibility.

• Public Delay Option: Sellers can delay broader public exposure on consumer-facing platforms for a period specified by local MLS organizations.

• Seller Disclosure Required: Sellers who choose this delayed option must acknowledge they understand potential risks related to limited initial exposure.

Why This Matters for Charleston-Area Realtors:

While "pocket listings" traditionally account for a small segment of the market—particularly high-value or celebrity-owned properties—the updated policy may influence broader market strategies.

Here’s how:

• Strategic Pricing: Sellers uncertain about pricing can initially test the market privately, preventing a public record of price adjustments or extended market times.

• Client Privacy: High-profile sellers or those seeking privacy benefit significantly by delaying public exposure, protecting their interests and confidentiality.

• Fair Competition: Transparency advocates argue broader listings typically generate better competition, potentially driving higher prices. Understanding your client's priorities can help you effectively navigate this choice.

Next Steps:

As this policy takes effect immediately and must be implemented across all MLSs by September 30, it’s essential to be ready to advise your clients clearly. Consider discussing:

The pros and cons of broader immediate exposure versus delayed public listing.

How your client’s specific goals—price testing, privacy, timeline—align with these new marketing options.

Understanding these changes positions you as an expert who can confidently navigate evolving MLS rules, enhancing trust and effectiveness with your clients.