Objective Criteria in IDX and VOW Policies
NAR’s IDX and VOW policies permit MLS participants to choose which listings to display from MLS data feeds based on objective criteria. This allows MLS participants to tailor displays to consumer interests using neutral, consistent, and verifiable standards pursuant to the participant’s independent business decisions.
MLS policy does not expressly define “objective criteria.” Instead, it provides examples as guidance:
- Geography or location (e.g., zip codes, uptown, downtown, etc.)
- List price range
- Property type (e.g., condominiums, cooperatives, single family detached, multi-family)
- Type of listing agreement (e.g., exclusive right to sell or exclusive agency)
These examples are illustrative, not exhaustive. Objective criteria can include other metrics and facts such as listing status, property attributes (e.g., number of bedrooms, baths, size), or other neutral considerations.
In general, objective criteria should:
- Be applied equally to all participants’ listings
- Be based on measurable or verifiable facts
- Not explicitly and/or directly target any particular brokerage and/or agent by name
Policy Statement 8.5 - Non-filtering of Listings
This policy was adopted in November 2021 following discussions between NAR and the DOJ regarding concerns the DOJ had about MLS policies, which primarily centered around offers of compensation in the MLS. Policy Statement 8.5 states a participant cannot filter out, or an MLS cannot enable the ability to filter out or restrict MLS listings based on the existence or level of compensation offered to the cooperating broker or the name of a brokerage and/or agent.
Filtering out listings is also a term in the Sitzer settlement agreement where it prohibits MLS participants and subscribers from filtering out or restricting MLS listings communicated to their customers or clients based on the existence or level of compensation offered to the broker assisting the buyer. Note that the settlement agreement does not include the part about restricting based on the name of broker or agent. NAR adopted that language to prevent discriminating against brokers or agents who may be known to either not offer or offer certain levels of compensation.
Considerations for local MLS enforcement are:
- Like with all MLS rules, they should be enforced consistently and equally to all participants and processed through the enforcement procedures adopted by the MLS.
- MLS participants should not explicitly and/or directly filter out listings based on existence or level of compensation offered to the cooperating broker or the name of the brokerage and/or agent.
- The non-filtering of listings requirement is applicable to all communications with a client or customer (e.g., online display, print outs, etc.).
- As we advised in the Settlement FAQs on facts.realtor (FAQ 99), Policy Statement 8.5 does not prohibit ranking or sorting which is the ability to organize a list of MLS listings in a particular order. However, ranking or sorting must not involve the removal or the blocking of MLS listings which prevent the communication of those listings to a client or customer.
Important note: These two provisions work in conjunction with each other. Selecting listings for display/distribution based on “objective criteria” is not prohibited by the non-filtering requirements of MLS Policy 8.5 provided it does not filter out listings based on offers of compensation or the brokerage and/or agent name.