When buying or selling a home, your real estate professional may use a Multiple Listing Service (MLS) to find homes for sale or market your property. Here is what you need to know:
What is an MLS?
MLSs provide online platforms that compile home listings from brokerages in a given market. They enable agents to see available homes for sale efficiently, get helpful marketplace data, and typically share listing information with national and local websites that advertise property information. There are many MLSs across the U.S., and each has its rules to ensure its information is complete, accurate, and transparent.
What value does an MLS provide?
MLSs allow real estate professionals to see, share, and promote homes for sale so the largest pool of potential buyers can find them. MLSs provide the most accurate, reliable, and detailed information about properties (both that have sold and are for sale), including listing price, address, features, disclosures, and square footage. MLSs also help promote fair housing and equal opportunity by giving real estate professionals and their clients access to consistent information.
As a buyer, how can an MLS help me buy a home?
Using an MLS allows your agent to access many homes for sale and connect with agents working to sell their clients’ homes.
As a seller, how can an MLS help me sell my home?
MLSs are the most trusted source for real estate data because real estate professionals verify their information. Listing on an MLS will help a seller reach the largest pool of buyers and attract the best offer.
Am I required to market my home through an MLS?
No. It would help if you discussed the pros and cons with your agent. If you decide to have your agent not list your home on an MLS, you may be asked to sign a document verifying that you, as the seller, have made this choice.
Can I offer to compensate a buyer’s agent on an MLS?
An offer of compensation is when the seller or agent offers to compensate another buyer’s agent for bringing a buyer to close the home purchase successfully. As of August 17, 2024, compensation offers are no longer allowed on MLSs. However, compensation offers can still be made off-MLS and shared through common marketing vehicles such as flyers, signs, emails, or other communication mechanisms. Read more about offers of compensation here.
Can I offer concessions on an MLS?
To attract more buyers, sellers may offer concessions, certain costs associated with the buyer’s home purchase that a seller agrees to pay. MLSs may allow communication about a seller’s concessions, depending on local rules. Read more about concessions here.
How do I access MLS information?
Many MLSs share data with websites that consumers can access. If you are a buyer, your agent will provide MLS property listings that may meet your criteria. For both buyers and sellers, when you work with an agent who has access to an MLS, you can discuss how the MLS can benefit you. Remember, agents who are REALTORS® are guided by ethical duties under the Code of Ethics, including the pledge to protect and promote the interests of their clients. Your agent will help you to weigh your options and develop a strategy you are confident in.
Practices may vary based on state and local law. Consult your real estate professional and an attorney for details about state law where you purchase a home.
