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On June 1, the Austin Board of Realtors will open its multiple listing service, Unlock MLS, to non-Realtor real estate licensees for the first time.
Once the change is made, non-Realtor MLS subscribers will pay the same rate as Realtor MLS subscribers, which works out to $47.97 per month or $575.64 per year. Agents and brokers who choose Realtor membership pay an additional $533 per year.
ABoR has 20,000 members.
Asked why Unlock MLS is making this change, Emily Chenevert, CEO for ABoR and Unlock MLS, told Inman it was about giving agent and broker subscribers flexibility and choice.
Emily Chenevert
“By decoupling MLS access from mandatory Realtor membership, we are empowering brokers and agents to select the professional tools and affiliations that align with their unique needs,” Chenevert said in a statement.
“It’s important for subscribers to know and understand that Unlock MLS values the ability for them to choose what’s best for their business.”
ABoR is offering this new option amid increasing antitrust lawsuits from agents and brokers against the National Association of Realtors’ three-way agreement, which requires agents and brokers to join Realtor associations at all three levels — local, state, and national — if they want to be Realtors.
The primary reason behind objections to the policy is that many, if not most, MLSs require Realtor membership in order to subscribe to their database. This is not an NAR policy but it is a common one for MLSs across the country, including ABoR’s MLS.
“Historically, Unlock MLS operated within a framework where MLS access was tied to mandatory Realtor membership,” Chenevert said.
“However, as the industry evolves and agents and brokers express a growing need for flexibility, we recognized that this adjustment was necessary to meet those needs.”
According to Chenevert, ABoR made the choice to offer a non-Realtor MLS option “independent” of industry litigation.
“While we are aware of these broader discussions, our primary focus is and always will be meeting the needs of our subscribers,” Chenevert said.
The change reflects Unlock MLS’s commitment to adapting to the industry’s evolving landscape, she added.
“It’s important that members of ABoR have the opportunity to choose their relationship with the association and that Unlock MLS subscribers aren’t compelled to join an association simply to gain access to the tool they need for their business,” she said.
“By acting now, Unlock MLS ensures it stays at the forefront of providing innovative solutions that align with modern business needs.”
Agents and brokers who choose to forgo ABoR membership but subscribe to Unlock MLS will lose access to benefits and services that NAR, the Texas Association of Realtors, and ABoR provide, but there will be no distinction between the service Realtor and non-Realtor subscribers to Unlock MLS receive, according to Chenevert.
“Lockbox, key service, education and training, partnered technology offerings, and forms are all services available for Unlock MLS subscribers,” she said.
Non-Realtors will not have access to transaction forms developed by the Texas Association of Realtors, but they will have access to Unlock MLS transaction forms. According to ABoR, these include:
- Addendum Confirming Broker Compensation (sales transaction)
- Amendment to Buyer/Tenant Representation Agreement
- Amendment to Real Estate Listing Agreement (Unlock MLS)
- Amendment to Residential Real Estate Listing Agreement (NAR Settlement Compliance *Needed for active listings that were put in place prior to last August deadline for business changes)
- Brokerage Fee Confirmation Addendum (Lease)
- Buyer/Tenant Representation Agreement (Limited Services)
- Residential Buyer Tenant Representation Agreement (Long Form)
- Residential Listing Agreement Exclusive Right to Lease
- Residential Listing Agreement Exclusive Right to Sell
- Seller’s Authorization to Exclude Listing from MLS
- Unrepresented Buyer Tenant Acknowledgement
“We will continue to expand the suite of forms we developed at the beginning of last year in an effort to support our subscribers through the changes in business practice associated with the NAR settlement,” Chenevert said.
“Our intention on forms is to ensure that all Unlock MLS subscribers will be able to use our forms to support them in a full transaction and ensure they are able to work within an orderly marketplace,” she added.
“We’ll have more information on our expanded suite of forms this spring.”
Asked whether ABoR anticipates losing members as a result of the change and the possible impact to the association, Chenevert said, “The association will continue to demonstrate the value of its offerings, including advocacy, an award-winning global program, networking and professional development, which remain exclusive benefits of a membership.
“Unlock MLS’s changes does not prohibit ABoR from supporting its membership with the value they’ve come to know and expect.”
At the end of last year, another local Realtor association, Phoenix Realtors, rolled out a non-Realtor MLS option called MLS Choice, which prompted NAR to send the association a cease-and-desist letter to end the option.
While NAR alleged that MLS Choice was a membership option under Phoenix Realtors that provided Realtor benefits without requiring Realtor dues, Phoenix Realtors has thus far rejected that characterization of MLS Choice.
Asked how what ABoR is doing is different from what Phoenix Realtors is doing, Chenevert said, “Unlock MLS has implemented a rule change related to the requirements for subscribing to our services which was unrelated to our business as the Austin Board of Realtors.”
“ABoR has not altered its membership structure or offerings,” she added.
Asked whether NAR had confirmed that the change complies with their policies, Chenevert said, “Unlock MLS has carefully ensured that this change complies with all relevant NAR policies.”
Regardless, Unlock MLS is still an association-owned MLS and therefore will continue to follow NAR MLS policies and require its subscribers to follow NAR MLS policies.
“Unlock MLS operates in compliance with NAR MLS policies, and all subscribers — whether Realtors or non-Realtors — will be required to adhere to Unlock MLS’s rules,” Chenevert said.
This includes NAR’s controversial pocket listing rule, the Clear Cooperation Policy, which requires listing brokers to submit listings to their Realtor-affiliated MLS within one business day of marketing them to the public.
“CCP is a rule of Unlock MLS and a current requirement that we expect to evolve this spring,” Unlock MLS said on a webpage dedicated to the upcoming change.
“It is unrelated to Realtor membership. You might be thinking about how Unlock MLS currently operates under the NAR umbrella as an association-owned MLS, which requires us to adhere to their mandatory policies.
“That hasn’t changed with this announcement. We’ve simply changed the requirements for subscribing to the MLS and are agnostic about that choice for brokers and agents as it relates to your MLS access.”
Adhering to NAR’s rules also means that brokers — also known as “principals” — decide whether or not they and their agents will be Realtors. If brokers choose to be Realtors, then dues must be paid for all of their agents under NAR’s “fair share” dues formula — a rule that at least one antitrust lawsuit has challenged.
“Under NAR Bylaws, if the principals opt to be Realtors, the firm, and all affiliated licensees must pay Realtor dues,” Unlock’s website says.
“Conversely, if the principals choose not to be Realtors, no licensees in the firm may hold Realtor membership.”
Unlock MLS acknowledged that this rule “prohibits flexibility at the salesperson or agent level, as it prevents individual licensees within a firm from choosing Realtor membership independently of their principals” but said, “We must also operate within the framework of NAR’s existing policies.”
Email Andrea V. Brambila.
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