While the industry debates Clear Cooperation, buyer comp rules, and MLS policy shifts, state real estate regulators — the ones with enforcement power — are quietly stepping in.
In a recent post on her blog, former California DRE investigator and real estate compliance consultant Summer Goralik sounded the alarm: Private listings are drawing increased scrutiny, and state agencies are preparing to act.
“They don’t need a lawsuit or new policy to get involved,” Goralik writes. “They’re already empowered by statute… and in many cases, they have the will to act.”
Goralik, who recently keynoted the ARELLO Mid-Year Meeting, says regulators are focused on fundamentals:
- Fiduciary duty
- Disclosure
- Broker supervision
And off-MLS activity is raising flags in all three.
Not a Strategy — A Liability
If your office treats office exclusives or “coming soon” campaigns as lead-generation tools — or pushes sellers toward private listings without full, documented disclosure — you may be exposing your brokerage to regulatory risk.
Goralik outlines the kinds of questions regulators may ask when auditing a firm:
- Is there a written policy for off-MLS listings?
- Were sellers properly informed and did they choose this path?
- Was dual agency involved, and if so, was consent properly obtained?
- Are buyers made aware of withheld data like DOM or price history?
“When the rationale for avoiding the MLS looks more like a business strategy than a client-specific need,” she warns, “that’s when real trouble begins.”
This Is Bigger Than CCP
This isn’t about NAR policy or antitrust battles. Regulators don’t need industry consensus. They enforce existing law — and they’re increasingly focused on whether off-MLS practices undermine transparency, fair housing, or client representation.
Goralik adds:
“Consumers don’t know what they’re not being told. But regulators do.”