There has been a growing disconnect in residential real estate between what is being marketed as innovation and what actually serves the best interests of buyers and sellers. In a recent guest post on Jonathan Miller’s Housing Notes, I explore the destructive nature of Private Listing Networks, and why the tide is beginning to turn on a policy level. You can read the full piece here: https://housingnotes.com/p/the-empire-strikes-back-new-york
At the forefront of this shift is New York, where new legislation has been introduced to curb the use of private listing networks and require more transparent, public-facing marketing of properties. This reflects a broader recognition by policymakers, regulators, and many industry leaders that the unchecked expansion of private listing networks is at odds with the foundational principles of an open market.
For decades, residential real estate has operated on a simple premise: the more exposure a property has, the better the outcome for the seller. Maximum visibility creates competition. Competition drives price. It is a system that, when working properly, benefits both sellers and buyers while reinforcing trust in the marketplace.
Private Listing Networks completely disrupt that equation, and not in a good way.
By limiting access to listings, often keeping them within a single brokerage or a closed ecosystem, they artificially constrain demand. Sellers are led to believe that privacy or selectivity will yield a better result but in reality, restricting exposure almost always means fewer buyers, less competition, and a diminished opportunity to achieve the highest possible price.
Some in the industry have attempted to justify this shift under the banner of “seller choice.” But sellers have always had a choice. What’s new is the way that choice is being framed and, perhaps in some cases, steered. A system is designed to benefit the agency more than the client deserves scrutiny.
New York’s proposed legislation is part of a broader national movement. States across the country including Wisconsin, Washington, Hawaii, Illinois, and Connecticut, are beginning to ask hard questions about transparency, fairness, and access. Regulators are examining whether private listing practices may have unintended consequences not just for pricing, but for equity and consumer protection.
Our industry is built on trust, transparency, and competition. Those values are not outdated; they are essential and they are what is at stake in the debate over private listing networks.
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