Compass, a residential restate brokerage known for their “Private Exclusive” off-market listings, has filed a lawsuit against Zillow alleging that the website’s new policy surrounding off-Multuple Listing Service (MLS) homes violates federal antitrust laws.
What the lawsuit alleges
The lawsuit, which was initially filed on June 23, 2025 in the U.S. District Court for the Southern District of New York, claims that through their new policy, Zillow seeks to remain the dominant search platform to protect the monetization of home listings in the United States and the monopoly they have over the current market.
How Zillow’s new policy works
The listing access policy is slated to go into effect on June 30, 2025, prohibiting users from being able to search for homes that have been marketed off of Zillow’s platform for more than a single business day. Coined the term “Zillow Ban” by Compass, other brokerages who offer similar services, will be forced to put every listing on the MLS in Zillow’s effort to reduce competition.
Compass claims that the policy will be directly responsible for the elimination of their “Private Exclusive” option which allows agents and sellers to privately connect with serious buyers instead of on public listing sites.
Industry reaction and what’s next
Redfin and eXp Realty, popular MLS websites similar to Zillow, have also been named in the lawsuit. In April 2025, the latter publicly partnered with Zillow for a joint transparency initiative. According to Zillow’s official statement, eXp Realty is now to comply with the platform’s policy on listing standards.
“This partnership is about delivering value and building trust, two things that matter more than ever in today’s rapidly evolving real estate landscape. By tapping into Zillow’s massive consumer reach, eXp agents are positioned to serve more people and create more opportunity. At the end of the day, this is a strategic move that reflects our relentless commitment to innovation, agent empowerment and delivering excellence for our clients,” said Leo Pareja, CEO of eXp Realty.
In the filing, Compass seeks a permanent ruling against the enforcement of Zillow’s listing access policy and monetary compensation. Although a trial date has yet to be set, the case itself has reignited the long standing conversation around MLS platforms such as Zillow.
“Imagine if Amazon banned a seller for offering a product on their own website first. That’s what Zillow is doing in real estate,” said Zillow’s CEO Robert Reffkin.
Since May 1, 2020, the National Association of Realtors (NAR) “Clear Corporation” policy for MLS properties has outlined the same guidelines as Zillow aims to do with their respective policy. However, the guidelines are only applicable to public listings–a procedure that Compass’ business model does not fall under.
In a statement to CBS MoneyWatch, a Zillow spokesperson stated, “When a listing is publicly marketed, it should be accessible to all buyers — across all platforms, including Zillow. Hiding listings creates a fragmented market, limits consumer choice and creates barriers to homeownership…especially in this inventory and affordability-constrained environment.”
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