“I heard this property was coming on the market, and I locked it in before anyone else even had a chance to see it.”
It’s a sentence you’ve probably heard before – and maybe even said yourself.
In certain cases, exclusivity is a useful strategy. It can give sellers more control, offer buyers unique opportunities, and protect privacy. But a lawsuit currently unfolding in the US is bringing this topic into the spotlight again, and it’s raising timely questions for us here in Canada.
The Compass vs. Zillow lawsuit: what’s the issue?
In June 2025, Compass filed a lawsuit against Zillow over what’s being called the “Zillow Ban,” a policy that blocks listings from appearing on Zillow if they were marketed anywhere else (like a yard sign or a social post) more than 24 hours before hitting the MLS®.
Compass is arguing that the policy is anti-competitive. Zillow says it’s about fairness and transparency for buyers. The legal fight is still unfolding, but it’s already made one thing clear: even in the US, most agents and sellers eventually end up on the MLS.
Why?
Because that’s where the buyers are. And agents know that off-market listings, while sometimes necessary, don’t always deliver the best outcome at scale.
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As we keep an eye on the legal drama south of the border, let’s stay focused on what we do best here in Canada: advising our clients based on market reality, not just marketing theory.
Erin Best
Director of Real Estate & Industry Engagement
What this means for us in Canada.
We’re not immune to this debate. In fact, the Competition Bureau of Canada is actively reviewing CREA’s Cooperation Policy, which was introduced in January 2024. That policy encourages listing transparency, but still allows for exclusive listings in specific cases.
As CREA put it:
“The policy recognizes not every seller wants their property to be advertised… REALTORS® can still market these exclusive listings within their own offices or in one-to-one direct communications.”
So, while the option remains available, the real question is: should you use it?
The role of exclusivity in a balanced strategy.
Exclusive listings aren’t a one-size-fits-all approach. Sometimes privacy matters more than exposure – maybe the seller is a public figure; maybe there are renovations underway; maybe health or family considerations mean fewer showings are ideal.
But if the goal is to maximize price or reach the most buyers, even an exclusive listing can fall short.
A 2022 Bright MLS study found that publicly listed homes in the US sold for an average of 18% more than off-market properties. Zillow’s more recent analysis suggests private US sellers collectively lost over $1 billion in two years by skipping the MLS – that’s an average of $5,000 per home.
We don’t have equivalent Canadian data (yet), but the economics of exposure are likely similar.
Transparency matters – and so does timing.
If everyone bought and sold properties off-market, the industry would lose more than just exposure, it would lose the data that helps keep pricing fair and informed. Without listings and sold data on the MLS, how would your buyers know what’s reasonable? How would your sellers benchmark their home?
At REW, we work with data every day, and the most meaningful insights are still drawn from properties that have gone through the MLS system. Otherwise, it’s simply anecdotal data. For clients, hard, empirical data translates into informed pricing, a more competitive offer environment and, more often than not, better results.
Final thoughts.
The Compass vs. Zillow lawsuit reminds us of something agents already know: exclusive listings are a tool, not a strategy. They’re useful in the right circumstances, but the MLS remains the gold standard for delivering the best results for buyers and sellers alike.
As we keep an eye on the legal drama south of the border, let’s stay focused on what we do best here in Canada: advising our clients based on market reality, not just marketing theory.
Use every tool in your toolbox. But don’t forget which one still does the heavy lifting.
