REcolorado will no longer allow any reference to compensation within the MLS. All compensation fields and the compensation disclaimer have been removed across all property types and all data feeds since August 15, a revised date that was selected to align with the release of revised state forms. No reference to compensation is permitted anywhere in the MLS, including remarks, showing instructions, free-text fields, photos, etc.
Impact on New Listings:
Compensation Validation on Listing Input
When you begin input of a new listing in REcolorado Matrix, you will be presented with an attestation, requiring you to acknowledge that you will not make any reference to compensation within the MLS and will follow MLS Policy.
Because compensation is not permitted anywhere in the MLS, additional validation will run behind the scenes to check for references in remarks and other free-text fields. If prohibited text is found, you’ll receive an error message and need to remove it before you can submit your listing. You will see this validation in REcolorado Matrix prior to the removal of compensation fields so you can begin adapting to new business practices.
Do not put compensation information in remarks or any field. If you do, this information will be removed or redacted. To further protect yourself, please update your existing listings to remove references to compensation from text fields as soon as possible.
Impact on Existing Listings:
Removal of Compensation Fields & Data
All compensation fields have been removed across all property types, including all historic listings, effective August 15. No prior listings or data will be grandfathered in. The following fields will be removed:
- BuyerAgencyCompensation
- BuyerAgencyCompensationType
- Commission Modified
- CompensationBasedOn
- CompensationOffered
- DualVariableCompensationYN
- SubmittedProspectYN
- TransactionBrokerCompensation
- TransactionBrokerCompensationType
Compensation information may not be displayed anywhere in the MLS, including remarks, showing instructions, free-text fields, photos, etc. Validation rules will run behind the scenes, so please do not look for creative solutions to circumvent this practice change.
Impact on Past Listings:
Removed or Redacted Compensation
Compensation information must be removed from all listings. We will be scanning every listing, including Closed and Expired listings, to remove or redact any reference to compensation outside of the removed fields.
If you need historical information, you’ll need to reach out to the listing broker for details. All compensation information will no longer be available through the MLS.
Compensation on IDX Websites
IDX websites, which display REcolorado data, may no longer display compensation information in aggregate. You can display compensation on your own listings on your own website, but your individual website cannot display compensation information for other brokerages and their listings. Please talk with your IDX vendor if you have questions about options available for your website.
Ultimately it is your responsibility to ensure your website adheres to all applicable law and policy. Talk with your managing broker or lawyer to discuss your specific circumstances.
Why are these changes being made?
The removal of compensation fields and data is being done in adherence to the National Association of REALTORS® settlement announced in March 2024. REcolorado chose to opt-in to the settlement and will make the required system and policy changes stipulated in the settlement. This will not change if the company changes ownership. We made this decision because we believe the changes will serve the best interest of the MLS and our subscribers. The changes identified in the settlement, including removing compensation from the MLS, helps to protect REcolorado from the threat of future antitrust lawsuits.
See additional Settlement FAQs >>
Questions?
Customer Success is here to help. You can reach us at 303.850.9576 or support@REcolorado.com.
Watch our webinar Removal of Compensation from REcolorado to learn about all related system, data, and policy changes.
This post is intended for informational purposes only and should not be considered as legal advice. Real estate brokers and agents are encouraged to seek legal counsel to fully understand how these changes may impact their specific circumstances.
