Private listings are at the center of one of the most headline-grabbing litigations in real estate right now. Compass has sued Zillow over its new “listing access standards” program, which removes listings not listed on MLSs within one business day of being publicly marketed from Zillow’s platform. While the Zillow and Compass litigation unfolds in the Southern District of New York, a new battle over private listings has been staked on the opposite side of the country.
On Tuesday, January 13, a bill—supported by Washington Realtors®—was introduced into the Washington State Senate that would severely restrict private listings. The bill, if passed, would explicitly ban real estate brokers in Washington from listing to “an exclusive group of prospective buyers or real estate brokers” unless the listing is also marketed publicly—this, in effect, undoes the exclusivity intended by private listings. The bill notes, however, “reasonable” exceptions for this rule if the private listing is done to protect the safety of the listed property’s owner and/or occupant.
The bill, referred to the Washington Senate Housing Committee, amends the section of Washington state law governing real estate relationships; the language the bill adds explicitly defines a private listing exhibited without concurrent public marketing as an “unfair practice.”
While the bill has also attracted the support of local Northwest MLS (NWMLS), the legislation’s language does not stipulate that the required public marketing for a listing has to be on an MLS itself. In response to a query from RISMedia, Washington Realtors® confirmed that, should the bill be enacted, brokers would still be required to follow their local MLS rules.
NWMLS itself is currently engaged in litigation with Compass over private listings (separate from the Zillow suit). Compass has alleged that NWMLS has leveraged its policies to undermine Compass’s private listing strategies, which NWMLS has denied.
In a statement provided to RISMedia, NWMLS said:
“For years, Northwest MLS has supported industry rules and state legislation to increase transparency for consumers and advance real estate brokerage practices in Washington. Northwest MLS shares the concerns related to private listing networks expressed by Senator Elizabeth Warren and Senator Ron Wyden in their recent letter to the U.S. Department of Justice (DOJ) and the Federal Trade Commission (FTC).”
The letter referred to by NWMLS voiced antitrust concerns about the recently completed merger between Compass and Anywhere, and encouraged the FTC and DOJ to investigate the merger. The letter claimed that private exclusive listings “raise profound civil rights concerns” and “stifl(e) fair and open enterprise” by giving “well-connected consumers” a chance to purchase before a listing reaches the open market.
Private listing networks have been previously accused of fomenting housing segregation. For example, in November, Zillow released a study claiming that Midwest Real Estate Data’s (MRED) private listing network has contributed to housing segregation in Chicago, though MRED has disputed the findings.
“As such, Northwest MLS fully supports Washington Realtors®’ efforts to modernize the statutory framework in Washington to advance fair housing, further promote transparency and ensure consumer and broker access to property listings,” the NWMLS statement continued.
“Our top public policy priority has consistently been to build communities that have a strong economy and attractive, affordable home choices—our North Star for our advocacy efforts is making Washington the most consumer-friendly state in which to buy and sell real property. Washington Realtors® is supporting this bill because it’s another step toward that goal,” read a statement provided to RISMedia by Washington Realtors®.
In a video published by Washington Realtors® on Wednesday, January 7, prior to the bill’s formal introduction into the legislature, Washington Realtors® 2026 President Ryan Beckett discussed the legislation and the association’s support for the bill.
“Ultimately, we feel like the use of private listing networks is at odds with our goal of being the most consumer-friendly state in the nation to buy and sell real property,” Beckett said, adding that private listing networks pose a “threat” to transparency in real estate markets “and that it could move us backwards in fair housing practices.”
Annie Fitzsimmons, Washington Realtors® legal hotline lawyer, argued on the video that the bill will not prohibit private listing networks outright or ban brokers who already use them from continuing to do so, “so long as the property is also marketed publicly.”
The bill currently has 18 sponsors (out of the State Senate’s 49 members), and support stretches across party lines.
Where Compass and Zillow stand
“If a listing is marketed to some buyers, it should be marketed to all buyers,” is Zillow’s stance on private listings, while Compass—including CEO Robert Reffkin—has argued private listings are essential to protecting consumer choice. Given these firm stances, it is unsurprising that Zillow has voiced support for the Washington legislation while Compass has voiced opposition to it.
In a statement provided to RISMedia by Zillow, the company affirmed its support for the Washington bill, comparing it to similar legislation passed in Wisconsin this past December.
“We’re glad to see Washington put forward a bill that would have it join Wisconsin as a national leader in establishing pro-consumer protections to ensure that everyone has fair and open access to real estate listings at the same time. Hidden listings worsen the housing affordability crisis by making it more difficult for buyers to navigate the market and causing sellers to lose out on potential offers, and they leave smaller brokerages at a disadvantage,” the statement read.
“Zillow believes listing transparency is beneficial to all, whether you’re a buyer, seller, agent, or part of the real estate industry as a whole, and we support policies and initiatives that align with that belief.”
A statement provided by a Compass spokesperson to RISMedia claimed that: “This bill is a veiled attempt by NWMLS and Zillow to preserve their market dominance by restricting homeowner choice and limiting competition, to the detriment of sellers and agents alike.
“Compass believes Washington homeowners deserve the same flexibility to choose when and where to market their homes as homeowners in every other state. Every other state offers flexibility that allows homeowners to test pricing, gain critical positioning insights, retain their privacy and confidentiality, and generate early demand without public price reductions or days on the market,” the statement continued. “Compass fully supports and complies with fair housing laws.”
Compass declined to comment on a follow-up question on what, if any, discussions it has had with its Washington-based agents about the bill and its impact should it pass.
Local association Seattle King County Realtors® did not immediately respond to a request for comment by RISMedia at press time.
