On November 11, 2019, the National Association of Realtors (NAR) voted to bar realtors and brokers from keeping listings off the multiple listing services (MLS). The policy becomes effective on January 1, 2020. Although its implementation has been delayed until May 1, 2020.
What is a pocket listing?
Pocket listings, also known as "coming soon" or "off market" properties, are properties for which a seller signed a listing agreement with a realtor or broker but the agent does not advertise them to the general public (e.g., they do not list it on the MLS) for a period of time. While a seller may have reasons to request that his property not be listed, pocket listings are usually seen as a way to stifle competition (e.g., agents trying to get seller's and buyer's commision).
New Rule
The new NAR rule will require properties to be listed on the MLS within one business day of being marketed to the public. Specifically, the policy states:
“Within one business day of marketing a property to the public, the listing broker must submit the listing to the MLS for cooperation with other MLS participants. Public marketing includes, but is not limited to, flyers displayed in windows yard signs, digital marketing on public-facing websites, brokerage website displays, digital communications marketing (email blasts), multi-brokerage listing sharing networks, and applications available to the general public.”