Zillow’s effort to restrict private real-estate listing networks is now targeting the Chicago region, as the company warns Midwest Real Estate Data (MRED) that its Private Listing Network (PLN) may violate Zillow’s updated listing standards.
MRED operates the multiple listing service for the Chicago area. Its PLN allows agents to share listings privately among brokers before they are posted publicly, giving sellers the option to test pricing or gauge interest without immediate public exposure.
Zillow’s latest listing rules require properties to be eligible for publication within one business day of being publicly marketed. The company argues that multi-broker private networks can limit consumer visibility and create information gaps—particularly for buyers entering the market without a local agent.
Zillow’s position
Zillow has not begun enforcement in Chicago but has contacted managing brokers to notify them that prior PLN listings may affect whether properties appear on Zillow once they go public.
According to the company, the new policy is intended to prevent what it describes as “hidden listings,” which can reduce transparency and potentially disadvantage buyers and sellers.
Zillow began enforcing the standards in other markets earlier this year and says it has been working with MRED since spring to address differences in interpretation.
MRED’s response
MRED told member brokers that withholding certain listings from Zillow could violate Zillow’s licensing agreement, which it says requires Zillow to display all licensed data without restriction.
The organization maintains that its PLN—launched in 2016—supports fair access among brokers across the market while allowing sellers flexibility. Buyers working with a broker can also access PLN listings through partner platforms such as Zenlist.
The system has support among some agents and brokerage leaders who view private networks as a legitimate option for sellers seeking limited exposure early in the process.
Regulatory and policy context
Zillow’s rule change closely mirrors the National Association of Realtors’ Clear Cooperation Policy, which mandates that listings marketed publicly must also appear in the MLS within one business day. However, the NAR policy explicitly allows MLS-wide private networks such as MRED’s.
The conflict highlights an emerging divergence between platform-level listing rules and MLS-based industry standards.
Compass previously sued Zillow over the new listing requirements, arguing that they limit brokerage autonomy. Court filings referenced MRED’s PLN as part of broader industry debate around private listing models.
What comes next
Zillow has not specified when enforcement will begin in Chicago. Under its policy, brokers receive two warnings before a third violation results in listings being blocked from Zillow’s platform.
MRED has not announced any changes to its PLN, and both organizations say discussions are ongoing.
Industry leaders remain divided: some argue that public access and transparency should take precedence, while others say sellers should retain control over how and when their homes reach the broader market.
Source: The Real Deal
