The Las Vegas MLS

For decades the Local MLS (Multiple Listing Service) has been a method for cooperating Brokers to compile all available listings. It started with cards, and then went to books and from there onto a computerized database. This would allow any potential buyer the ability to view details and photos on all available listings in the area.

Now that the MLS is on computer and accessible through the IDX (Internet Data Exchange) the MLS is accessible to any potential buyer with a computer 24 hours a day 365 days a year. The problem lays with access to the IDX data feed. The data is owned by the local board of REALTORS®.

As a general rule, the local board contracts out the gathering and display of this data. Competition is almost non-existent therefore the current technology that is utilized is archaic and stagnate.

Stringent rules are in place by most local boards as to how the data may be used and displayed. The rules are generally set in place and enforced by the MLS Committee of the local Board of REALTORS®. The MLS Committee is usually comprised of Board Members that are voted in.
Access to the IDX raw data feed is generally restricted to Brokers only. Agents are required to use what is called a framing solution of the Broker’s information.

Third party IDX Vendors are generally discouraged by the Board and forced to jump through unnecessary hoops to obtain access. Most MLS enhancements and improvements come from Third party IDX Vendors.

While most Local Boards such as Greater Las Vegas Association of REALTORS® have employees to monitor any violations by the use of the IDX data, Agents are still denied access. This by its very nature restricts enhancements that may be enjoyed by the consumer. The more information that can be obtained from a MLS by potential buyers in easy to understand and use formats enables them to make better decisions on the purchase of real property. So why do Local Boards restrict access and slow the progression of technology?

I have always been under the impression that REALTORS® exist as a consumer advocate. Was this assumption incorrect? The fact that all boards receive revenues from Brokers and Agents is clearly incentive to keep access prices up. Unfortunately the consumer ultimately pays the tab.In a recent article of REALTOR® Magazine, the debate on the future of the MLS did nothing to reassure me that there would be substantial changes anytime soon.

While there was more talk of consolidation of MLS Systems all I could see was a means to exert stronger control by local boards over their IDX data feeds. All of this does nothing but limit competition and drive prices up.