There are changes being talked about in the ole’ real estate industry that has got some worried. California may adopt a statewide MLS system.
The way it works today is that we have a lot of local MLS Associations throughout the state. Each MLS can make their own rules and regulations and have their own database of listings for their members to use. A Broker can sign up for multiple MLSs but they have to pay separate fees and adhere to the rules for that particular MLS that they are buying or selling a piece of property in. Once a Broker is signed up for a MLS, agents under their license can also sign up to that MLS.
Today, if a Bakersfield Realtor that wasn’t a member of the San Luis Obispo MLS Association wanted to sell a SLO property, their California Real Estate License would allow them to do that. But, they wouldn’t have access to the SLO MLS system or have a lockbox key to show the property. Also, the Listing Broker wouldn’t have to pay them ANY commission if they represented the Buyer as the agreement to offer commissions to the Buyer Agent is only between members of the local MLS Association. (The Listing Broker would need to agree to sharing any of the total commission paid by the Seller.)
On the Central Coast, we have 6 separate MLS Associations with their own rules and regulations. What the Associations have done is agreed to cooperate with each other so we have a common MLS System that we all access. Plus, offers for commission compensation to Buyer Agents is extended to all members of the 6 MLS Associations.
What a statewide MLS system would do is to put all listings in the state in a single MLS system that all agents could access. There would be a single set of rules as well. And, compensation would be extended for all agents.
There is still a lot that needs to happen for a statewide MLS system to take place but it is something that is getting a lot of people in the industry talking right now.