Elected representatives from real estate boards across Canada, including REBGV, voted to approve the Canadian Real Estate Association’s (CREA) Realtor Cooperation Policy and establish a new Duty to Cooperate into the REALTOR® Code at their AGM on April 18.

Set to take effect on January 3, 2024, this change will require Realtors across the country to place their residential listings on the MLS® System within three business days of public marketing unless an exemption applies.

Under the policy, “public marketing” is defined as any marketing to the public or to anyone not directly engaged with the brokers and licensees affiliated with the listing brokerage, i.e., outside of your immediate office unless it is one-to-one direct marketing.

After proposing this policy last year, CREA received feedback from members and boards across the country and made exemptions to the policy based on the input. 

As a result of that feedback, the approved policy will not apply to:

• one-to-one direct marketing;
• rental property listings;
• commercial property listings; and
• new construction listings with multiple properties or units, such as a condo development or residential development project.

Once in effect, the policy will require members to disclose to sellers the benefits of marketing their listing on an MLS® System. If a seller decides to forego these benefits, they will have to confirm this decision in writing.

“Cooperation is a fundamental principle of MLS®. After reviewing the final exemptions that CREA built into the policy, we voted with other boards across the country to approve it,” Jennifer Quart, REBGV Chair said. “We concluded that the final wording struck a reasonable balance between the goal of helping keep the MLS® the most accurate and comprehensive source of real estate data in Canada versus the need for us Realtors to have sufficient choice and latitude to serve our clients’ unique needs."

The practice of “non-MLS®”, “exclusive”, or “pocket” listings have been the source of debate, particularly in the United States. In fact, the National Association of REALTORS® passed a Clear Cooperation Policy in 2019 that requires members to make all listings available on MLS® within 24 hours, as opposed to the new three-day requirement in CREA’s policy.

The Realtor Cooperation Policy was a recommendation from a CREA working group, which concluded that such a policy would make the MLS® more comprehensive and valuable to Realtors and their clients over the long term. 

The working group also found that limited marketing tactics are often not in the best interests of the seller, and that excluding a residential property from MLS® Systems can: 

• reduce the exposure of the property to a wider market of potential buyers,
• result in a lower number of offers received, and 
• compromise the seller’s ability to get the most competitive offers for their home.

We’ll share more information on this change as it becomes available.