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* Archived Document *
Questions and Answers on Virtual Office Websites (“VOWs”)
(Note: These questions and answers are advisory in nature, have not been reviewed or approved by the Board of Directors of the National Association of REALTORS®, and will be updated form time-to-time.)
Click on the question to read the answer.
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General |
Q 1.1 |
What is a Virtual Office Website (“VOW”)? |
Q 1.2 |
What is NAR’s VOW policy? |
Q 1.3 |
When was NAR’s VOW policy adopted? |
Q 1.4 |
When must MLSs comply with the VOW policy? |
Q 1.5 |
How long will already-existing VOWs have to comply with local MLS VOW rules and policies? |
Q 1.6 |
What’s the difference between a VOW and an IDX site? |
Q 1.7 |
What is an MLS “Participant”? |
Q 1.8 |
What is a VOW “Registrant”? |
Q 1.9 |
Who can have a VOW? |
Q 1.10 |
Are VOWs brokerage – or advertising? |
Q 1.11 |
Is NAR’s VOW policy consistent with the law and with the REALTOR® Code of Ethics? |
Q 1.12 |
Won’t VOWs result in consumers (or others) “carrying off” the entire MLS database? |
Q 1.13 |
Where can I find VOW information and resources? |
Q 1.14 |
Are there model VOW rules MLSs can adopt? |
Q 1.15 |
Will the model MLS VOW rules be updated if and when new issues arise and policies are adopted by the NAR Board of Directors? |
Q 1.16 |
If an MLS has not adopted the VOW policy or has not adopted VOW-specific rules (or both), can I still operate a VOW? |
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Getting started – downloading |
Q 2.1 |
How do I get MLS information onto my VOW? |
Q 2.2 |
Must MLSs provide downloading capacity? |
Q 2.3 |
Are there different types of downloads? |
Q 2.4 |
What’s the difference between a “persistent” download and a “transient” download? |
Q 2.5 |
Who determines whether the MLS download will be “persistent” or “transient”? |
Q 2.6 |
Where can I find technical information about “persistent” and “transient” downloading? |
Q 2.7 |
My MLS offers a “framing” VOW solution. Must they also make a download available to participants? |
Q 2.8 |
I don’t want to make a substantial investment in hardware and software and would prefer a VOW “framing” solution. Does the VOW policy require MLSs to provide one? |
Q 2.9 |
Must MLSs download information directly to participants’ vendors if requested to by participants? |
Q 2.10 |
Certain MLS fields are considered confidential and for participants’ and subscribers’ use only. Must the MLS eliminate these fields from the download it provides – or can the MLS require VOW operators to “scrub” this type of information before making listings available to registrants via their VOWs? |
Q 2.11 |
Our MLS is computerized but not Internet-based. Does it have to become Internet-based to comply with the VOW policy? |
Q 2.12 |
Can our MLS charge a fee for downloading listing information? |
Q 2.13 |
Our MLS will need to add hardware and make software-programming changes to accommodate VOW operators. Can the cost of these enhancements be passed on to participants operating VOWs? |
Q 2.14 |
Can the MLS require that VOWs be “refreshed” more frequently than every seven (7) days? |
Q 2.15 |
Can the costs our MLS incurs for monitoring VOWs and in enforcing VOW-related MLS rules be assessed exclusively to VOW operators? |
Q 2.16 |
Can I use a third-party vendor to assist me in creating and/or operating my VOW? If I do, is the MLS required to provide my vendor with a direct data feed of MLS information? |
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Participating and ”opting out” |
Q 3.1 |
How do I make my listings available to other participants for their VOWs? Do I have to “opt in”? |
Q 3.2 |
If I don’t want other participants making my listings accessible on their VOW, can I “opt out”? |
Q 3.3 |
Is there more than one way to “opt out” of VOWs? |
Q 3.4 |
Can I “opt out” of VOW display of my listings entirely? |
Q 3.5 |
Can I “opt out” with respect to a particular participant? |
Q 3.6 |
Can I “opt out” with respect to a particular listing? |
Q 3.7 |
What should I consider before “opting out” of VOWs? |
Q 3.8 |
Are there risks related to “opting out”? |
Q 3.9 |
If I “opt out” of VOWs, can the MLS refuse to publish my listings? |
Q 3.10 |
If I “opt out” of VOWs, can the MLS refuse to transfer my listings to REALTOR.com or to another aggregator of real property ads if I do not permit other participants to make them available on their VOWs? |
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Coming to “terms”
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Q 4.1 |
What are “Terms of Use”? |
Q 4.2 |
Why must VOW operators establish Terms of Use? |
Q 4.3 |
What are the key elements to be addressed in VOW Terms of Use agreements? |
Q 4.4 |
Do Terms of Use agreements establish representational relationships or financial obligations between VOW operators and consumers? |
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“Parity” between “Virtual” and “Traditional” offices
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Q 5.1 |
There’s been considerable discussion about “parity” between “virtual” offices and traditional “bricks and mortar” offices under the VOW policy. What does this mean? |
Q 5.2. |
Why does the VOW policy include the “parity principle? |
Q 5.3 |
Must “virtual” offices and “traditional” offices be treated identically in all respects under the VOW policy? |
Q 5.4 |
What types of information ordinarily available to participants and subscribers must be deleted before listings are made available to consumers via VOWs? |
Q 5.4.1 |
Can I provide consumers the same information via my VOW that I can give them in my “brick and mortar” office? |
Q 5.5 |
Can there be “advertising” on VOWs? |
Q 5.5.1 |
Can the logos or branding of other companies be displayed on my VOW? |
Q 5.6 |
Can MLS data be changed or supplemented? |
Q 5.7 |
Should there be an “accuracy disclaimer” on VOWs? |
Q 5.8 |
Must the name of the listing firm be displayed when their listing(s) is made available on another participant’s VOW? |
Q 5.9 |
Are there special requirements related to disclosing the name of the listing firm? |
Q 5.10 |
How many listings can a consumer retrieve, view or download in response to an inquiry? |
Q 5.11 |
If an MLS does not permit VOW registrants to retrieve, view or download “sold” listings, may they still be made available to consumers via other methods of delivery? |
Q 5.12 |
If an MLS does not permit VOW registrants to retrieve, view or download “sold” listings, may VOWs nonetheless still provide registrants with CMAs (“comparative market analyses”)? |
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Other issues
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Q 6.1 |
Can listings from other sources (e.g., non-participant brokers, “FSBOs”, etc.) be displayed in response to a single search on a VOW? |
Q 6.2 |
Our firm has several offices. Each office participates in a different MLS. Can we have a single VOW that “commingles” listings from all of the MLSs in response to a single search? |
Q 6.3 |
Can sellers direct that their listings – or that just the address of their property – not be available on other participants’ VOWs? If they do, how is this accomplished? |
Q 6.4 |
Can VOW operators limit the listings available on their VOW? What are appropriate limiting criteria a VOW operator might use? |
Q 6.5 |
Must VOW operators have a “privacy policy”? Must it be made available to consumers? What must be disclosed? |
Q 6.6 |
Can I refer Registrants to other brokers? Are there any limits or conditions on how VOWs can be used to generate referrals? |
Q 6.7 |
How long are Registrants’ passwords good for? Can they be renewed or must a new password be assigned? |
Q 6.8 |
Can an MLS require VOWs to use data security protection, for example, “firewalls”? |
Q 6.9 |
Does the MLS have the right to enter my VOW? |
Q 6.10 |
My MLS has concluded that it does not have the technology and other resources necessary to monitor participants’ VOWs. Does that affect my right to operate a VOW? |
General
Q 1.1 What is a Virtual Office Website (“VOW”)?
A. Virtual Office Websites (“VOWs”) are Internet sites operated by MLS participants through which they conduct online brokerage, enabling them to establish relationships and work with clients and customers in cyberspace in ways similar to how real estate professionals interact with clients and customers in a “brick and mortar” environment. Consumers accessing VOWs can search and view MLS listing data after registering and providing their name and email address. A VOW can be a website or a page on a website.
Q 1.2 What is NAR’s VOW policy?
A. Click here to view the VOW policy.
Q 1.3 When was NAR’s VOW policy adopted?
A. The VOW policy was adopted, after extensive deliberation and debate throughout the REALTOR® organization, by the NAR Board of Directors on May 17, 2003.
Q 1.4 When must MLSs comply with the VOW policy?
A. MLSs have until January 1, 2006 to adopt the VOW policy.
Q 1.5 How long will already-existing VOWs have to comply with local MLS VOW rules and policies?
A. VOWs have 180 days after their MLS has adopted and implemented the VOW policy to comply with the policy and VOW-related MLS rules.
Q 1.6 What’s the difference between a VOW and an IDX site?
A. VOWs are Internet websites satisfying all the various requirements adopted by an MLS in implementing the VOW policy. IDX sites are other Internet websites operated by MLS participants that can be accessed by any member of the public (even if a password is required) where MLS data can be accessed, searched and viewed. While there is some overlap between IDX sites and VOWs, there are also key differences.
First, the data fields that MLSs permit to be shown can differ between IDX sites and VOWs. Generally, information available on a VOW will be "richer" or more comprehensive.
Consumers must register on a VOW, must disclose certain information about themselves, and must agree to Terms of Use. None of these are common on IDX sites.
Also, the "opt-out" consequences are different. An MLS participant who withholds consent from other participants to display her listings on other participants' IDX sites is precluded from displaying other participants' listings on her IDX site. A VOW operator who withholds permission for other participants to display her listings on their VOW sites, on either a “blanket” or on a “selective” basis, may nonetheless display their listings on her VOW site.
Q 1.7 What is an MLS “Participant”?
A. Stated simply, an MLS participant is a broker or a brokerage firm that participates in an MLS. In this context it also refers to brokers or brokerage firms that operate VOWs. (Click here to view MLS Policy Statement 7.9 – Definition of MLS “Participant”).
Q 1.8 What is a VOW “Registrant”?
A. A registrant is a consumer who registers on a participant’s VOW and agrees to Terms of Use.
Q 1.9 Who can have a VOW?
A. MLS participants with the capacity to offer real estate brokerage services are eligible to operate VOWs. Non-principal brokers and sales licensees may also operate VOWs at the discretion of each MLS and with the consent of their principal broker.
Q 1.10 Are VOWs brokerage – or advertising?
A. The VOW policy is based on the premise that real estate brokerage can be conducted online. State law may supersede this position and at least two state regulatory bodies have taken the position, for state regulatory purposes, that VOWs are advertising. VOWs in those states must still comply with the VOW policy and VOW-related MLS rules unless precluded by state law or regulation.
Q 1.11 Is NAR’s VOW policy consistent with the law and with the REALTOR® Code of Ethics?
A. NAR believes the VOW policy is lawful and wholly consistent with the Code of Ethics. As with any policy, the VOW policy must be implemented in a manner consistent with state law.
Q 1.12 Won’t VOWs result in consumers (or others) “carrying off” the entire MLS database?
A. Experience with existing VOWs has shown that the procedural and technological safeguards including “anti-scraping” technology, firewalls, registration, Terms of Use agreements (and the restrictions they impose), audit trails and, at the discretion of each MLS, reasonable limits on the number of listings that can be viewed or downloaded by registrants in response to an inquiry, are generally sufficient to safeguard compilations of current listings.
Q 1.13 Where can I find VOW information and resources?
A. VOW policy information and technical guidance is available at REALTOR.org on the Law and Policy page. Click here for a link to the Multiple Listing Policy/Procedures page.
Q 1.14 Are there model VOW rules MLSs can adopt?
A. Click here for a link to the model MLS VOW rules adopted by the NAR Board of Directors at the 2003 Midyear Meetings.
Q 1.15 Will the model MLS VOW rules be updated if and when new issues arise and policies are adopted by the NAR Board of Directors.
A. Yes.
Q 1.16 If an MLS has not adopted the VOW policy or has not adopted VOW-specific rules (or both), can I still operate a VOW?
A. MLS participants are entitled to operate VOWs irrespective of whether an MLS has adopted the VOW policy or VOW-specific rules and regulations. The ability of MLSs to regulate participants’ VOWs is undertaken pursuant to its existing rules and regulations until an MLS adopts the VOW policy and implements that policy through VOW-specific rules and regulations. Once VOW-specific rules and regulations are adopted, participants have one hundred eighty (180) days thereafter to bring their VOWs into conformance with those rules.
Getting started – downloading
Q 2.1 How do I get MLS information onto my VOW?
A. MLS information is generally provided to participants’ VOWs via a persistent or transient download from the MLS.
Q 2.2 Must MLSs provide downloading capacity?
A. MLSs that have not adopted the VOW policy or implemented VOW-specific rules are not required to provide VOW-specific downloads of current listing information for participants to operate VOWs. However, most MLSs already provide persistent or transient downloads of current listings to enable participants to conduct brokerage. MLSs must permit participants to use the same data download tools to download MLS data for use with a VOW that the MLS makes available to participants to download MLS data for delivery to customers and clients using offline delivery mechanisms. .
Q 2.3 Are there different types of downloads?
A. Yes, the policy’s downloading requirement may be satisfied, at the discretion of each MLS, by providing either a persistent or transient download of MLS information.
Q 2.4 What’s the difference between a “persistent” download and a “transient” download?
A. Simply put, a persistent download is a transfer of MLS information from the MLS’s server to a participant’s server from which it is available to be searched by registrants. Where a transient download approach is used, MLS information remains on the MLS’s server. Queries from registrants are received by a VOW and only information responsive to the query is extracted from the MLS’s server and transferred to the VOW where it is then formatted as desired by the VOW’s software, and then transmitted to the inquiring registrant. The key difference is that in a persistent download MLS information resides on the VOW’s server; in a transient download, MLS information resides on the MLS’s server. Click here to view the Center for REALTOR® Technology’s white paper discussing VOW architectures.
Q 2.5 Who determines whether the MLS download will be “persistent” or “transient”?
A. Each MLS determines the type of download it will provide to participants operating VOWs.
Q 2.6 Where can I find technical information about “persistent” and “transient” downloading?
A. Click here to view the Center for REALTOR® Technology’s white paper discussing VOW architectures, including downloading solutions.
Q 2.7 My MLS offers a “framing” VOW solution. Must they also make a download available to participants?
A. Yes. The VOW policy requires MLSs to provide participants wishing to operate VOWs with either a persistent or a transient download of MLS information.
Q 2.8 I don’t want to make a substantial investment in hardware and software and would prefer a VOW “framing” solution. Does the VOW policy require MLSs to provide one?
A. “Framing” is a VOW option available to participants if an MLS maintains a publicly accessible website. The VOW policy does not require MLSs to maintain a publicly accessible website or to offer a framing VOW solution. Click here to view the Center for REALTOR® Technology’s white paper that includes information on VOW framing solutions.
Q 2.9 Must MLSs download information directly to participants’ vendors if requested to by participants?
A. MLSs are not required to download information directly to participants’ vendors to facilitate VOW solutions. However, many MLSs will download information to participants’ vendors if requested by participants. MLSs may make downloads to vendors subject to vendors agreeing to use MLS information only for purposes authorized by the MLS.
Q 2.10 Certain MLS fields are considered confidential and for participants’ and subscribers’ use only. Must the MLS eliminate these fields from the download it provides – or can the MLS require VOW operators to “scrub” this type of information before making listings available to registrants via their VOWs?
A. Whether MLSs will eliminate information they deem confidential and intended only for other participants from their VOW “data feed” – or whether participants will be required to eliminate such information before making listings available on their VOWs (generally where a separate VOW “data feed” isn’t provided and VOWs are populated via the regular MLS “data feed”) – is a matter of local MLS determination.
Q 2.11 Our MLS is computerized but not Internet-based. Does it have to become Internet-based to comply with the VOW policy?
A. No, but the MLS must provide participants with downloaded information adequate for them to operate VOWs.
Q 2.12 Can our MLS charge a fee for downloading listing information?
A. Yes. MLSs may charge a reasonable fee for providing downloads to enable participants to operate VOWs. Click here to view Multiple Listing Policy Statements 7.9, 7.45, and 7.57 in the Handbook on Multiple Listing Policy.
Q 2.13 Our MLS will need to add hardware and make software-programming changes to accommodate VOW operators. Can the cost of these enhancements be passed on to participants operating VOWs?
A. The costs of adding or enhancing downloading capacity or other VOW-necessitated hardware or software enhancements to enable participants to operate VOWs may, as a matter of local discretion, be charged to those participants who download information to operate VOWs. Assessment of such costs should reasonably relate to the actual costs incurred by the MLS.
Q 2.14 Can the MLS require that VOWs be “refreshed” more frequently than every seven (7) days?
A. No. MLSs must require that participants refresh their listing data once every seven (7) days. Participants are free to refresh MLS data more frequently than that if they choose.
Q 2.15 Can the costs our MLS incurs for monitoring VOWs and in enforcing VOW-related MLS rules be assessed exclusively to VOW operators?
A. No. The VOW policy does not require MLSs or associations of REALTORS® to monitor participants’ VOWs. The cost of enforcing MLS rules is a part of the overall administrative cost of operating the MLS. MLSs may establish reasonable fines for violations of MLS rules.
Q. 2.16 Can I use a third-party vendor to assist me in creating and/or operating my VOW? If I do, is the MLS required to provide my vendor with a direct data feed of MLS information?
A. MLS participants are authorized to use third-party technology providers to establish and maintain participants’ VOWs. In such cases participants are permitted to make MLS-provided information available to their technology providers only to the extent necessary to establish, maintain or operate participants’ VOWs. MLSs may, but are not required to, provide direct data feeds to participants’ technology providers. If an MLS chooses not to provide a feed directly to participants’ technology providers, the MLS may not prohibit participants from retransmitting MLS-provided information to participants’ technology providers to the extent necessary to establish and maintain participants’ VOWs but may require execution by both MLS participants and their respective technology providers of appropriate license agreements sufficient to ensure that third-party technology providers understand and agree that MLS-provided information may be used only to establish and maintain their clients’ VOWs, and not for any other purposes. MLSs are not required to enter into such license agreements but an MLS’s decision not to enter into a specific license agreement with either a technology provider or with an MLS participant would not bar participants from making MLS-provided information available to technology providers for the sole purpose of establishing, maintaining and operating participants’ VOWs.
Participating and ”opting out”
Q 3.1 How do I make my listings available to other participants for their VOWs? Do I have to “opt in”?
A. Participants do not need to “opt in” for their listings to be displayed by other participants on their VOWs because the consent of every participant is presumed unless a participant makes an independent decision to withhold their consent (“opts out”). Listings will be automatically available to be downloaded by other participants for use on their VOWs unless a participant “opts out”.
Q 3.2 If I don’t want other participants making my listings accessible on their VOW, can I “opt out”?
A. Yes. Display of participants’ listings is subject to their consent, which can be withdrawn (“opting out”) as a result of a participant’s independent business decision.
The policy adopted by the National Association of REALTORS governing the display of listings from multiple listing services on Virtual Office Websites (VOWs) includes the ability of listing brokers to “opt out” of having their listings displayed on the VOWs of other brokers. The National Association believes most brokers will want their listings available to consumers visiting other brokers’ VOWs. The policy was written with that assumption in mind, allowing brokers who do not want their listings displayed to “opt out”, rather than requiring those who want their listings available to “opt in”. Nonetheless, it is possible that some brokers may not want their listings available to consumers visiting competing brokers’ VOWs, and the right of those brokers to withhold their consent is expressly recognized in the VOW policy. Similarly, the policy recognizes the right of a seller to decline to have the seller’s property information, or only the property’s address, displayed on VOWs.
Q 3.3 Is there more than one way to “opt out” of VOWs?
A. The VOW policy provides for both a blanket “opt out” and a selective “opt out”. A blanket “opt out” is when a listing broker decides not to allow any of her listings to be shown on the VOWs of the other brokers participating in the MLS. A selective “opt out” occurs when a listing broker decides to allow her listings to be made available on some, but not all, participants’ VOWs.
Q 3.4 Can I “opt out” of VOW display of my listings entirely?
A. This would be considered a “blanket opt out” which can be accomplished in one of two ways - at the discretion of the MLS.
One method is to notify the MLS which, in turn, will withhold the listings of the “blanket opt out” participant from the MLS’s “VOW download” of listing information.
If the MLS doesn’t offer this functionality, a “blanket opt out” participant would notify the MLS of its desire to “opt out” of VOWs and the MLS would add the participant to its list of “blanket opt out” participants that is available to all participants operating VOWs. In this case, it becomes the responsibility of participants operating VOWs to refrain from displaying the listings of “blanket opt out” participants on their VOWs.
Q 3.5 Can I “opt out” with respect to a particular participant?
A. An MLS participant can “selectively opt out” with respect to another participant’s VOW by providing written notice to that participant of the listing participant’s independent business decision to withhold consent for display of the listing participant’s listings on the other participant’s VOW.
Q 3.6 Can I “opt out” with respect to a particular listing?
A. Yes. A seller’s decision to “opt out” precludes display of the listing information (either the entire listing or only the address of the property) on the VOW of any cooperating broker. The policy permits a seller to “opt out” of having her listing displayed on the VOWs of cooperating brokers while still permitting the display of her listing on a VOW (or other website) operated by the listing broker.
MLSs may, but are not required to, have the ability to remove a particular listing from the “VOW download” (if a separate download is provided exclusively for purposes of providing content for participants’ VOWs. If the MLS does not offer this functionality, it would be the listing participant’s responsibility to make other participants operating VOWs aware that a particular listing could not be displayed on their VOWs. This may be difficult, particularly in large MLSs. Consideration could be given to using the MLSs email function (if available) to communicate such information to other participants.
Q 3.7 What should I consider before “opting out” of VOWs?
A. Some relevant considerations for participants considering “opting out” of VOWs include the directions of their clients, how to best promote their clients’ interests, and ensuring their decision is made independently.
Q 3.8 Are there risks related to “opting out”?
A. Listing brokers who choose to “opt out” of VOWs may want to disclose to their clients that they don’t allow display of their listings on some or all other VOWs, depending on the impact the decision could have on the marketing of the seller’s property. Also, any decision to opt out must be made independently and must not be the result of discussion or agreement between competitors.
Q 3.9 If I “opt out” of VOWs, can the MLS refuse to publish my listings?
A. No, “opting out” of VOWs does not affect the right of participants to submit their listings for inclusion in MLS compilations of current listings.
Q 3.10 If I “opt out” of VOWs, can the MLS refuse to transfer my listings to REALTOR.com or to another aggregator of real property ads if I do not permit other participants to make them available on their VOWs?
A. No. “Opting out” of VOWs either on a blanket or selective basis does not affect the right of participants to have their listings transferred to REALTOR.com or to other aggregators of real property ads by the MLS.
Coming to “terms”
Q 4.1 What are “Terms of Use”?
A. “Terms of Use” are the requirements to which registrants must agreeing order to obtain the right to view and/or download MLS information.
Q 4.2 Why must VOW operators establish Terms of Use?
A. VOW operators are required to establish Terms of Use agreements with registrants to ensure that registrants use MLS information only as provided for in the VOW policy and under VOW-related MLS rules and regulations.
Q 4.3 What are the key elements to be addressed in VOW Terms of Use agreements?
A. Terms of Use agreements must establish, at a minimum, that:
· registrants acknowledge entering into a lawful consumer-broker relationship with the participant;
· all data obtained from the VOW is for registrants’ personal, non-commercial use;
· registrants have a bona fide interest in purchase, sale, or lease of real estate of the type offered through the VOW;
· registrants will not copy, redistribute or retransmit any data or information provided; and
· registrants acknowledge the MLS’s ownership of and the validity of the MLS’s copyright in the MLS database.
Q 4.4 Do Terms of Use agreements establish representational relationships or financial obligations between VOW operators and consumers?
A. No The VOW policy expressly prohibits either representational relationships or financial obligations being established in the context of Terms of Use agreements. Participants can enter into such relationships or agreements via their VOW through an agreement separate from the Terms of Use agreement. It should be noted, though, that agreements creating representational relationships or financial obligations cannot be accepted by registrants solely through a “mouse click”.
“Parity” between “Virtual” and “Traditional” offices
Q 5.1 There’s been considerable discussion about “parity” between “virtual” offices and traditional “bricks and mortar” offices under the VOW policy. What does this mean?
A. The “parity principle” acknowledges that in some respects VOWs are analogous to traditional “brick and mortar” offices. Thus, in certain key areas participants have equivalent rights, responsibilities and obligations with respect to both their “physical” and their “virtual” offices. Areas where equivalent requirements are necessary, if any related rule is established, include:
· Display of expired, withdrawn, pending and sold listings.
· Display of compensation offered to other MLS participants.
· Display of listing agreement type (i.e., exclusive right to sell or exclusive agency).
· Display of sellers’ and occupants’ names, phone numbers, and email addresses.
· Display of information/Instructions intended exclusively for cooperating brokers.
· Advertising on pages displaying other participants’ listings (or any portion of their listings) except that the name, address, phone number and company logo of the participant operating the VOW; the name, address, and phone number of any non-principal broker or sales licensee operating the VOW (where permitted); and any information required by state law is not considered prohibited advertising.
· Changing information in MLS data fields.
· Supplementing MLS data with additional data (where such data display is not otherwise prohibited) with the source of any additional data being clearly identified.
· Inclusion of notices that data is deemed reliable but not guaranteed accurate by the MLS.
· Display of the name of the listing firm in typeface not smaller median typeface used in the display of listing data.
· Reasonable limits on the number of current listings (or, if permitted, sold listings) that may be viewed, retrieved, downloaded or otherwise provided as determined by the MLS.
Q. 5.2. Why does the VOW policy include the “parity principle?
A. The concept underlying the VOW policy is that operation of a VOW is a method by which participants use MLS listing data in connection with offering online brokerage services to established clients and customers. Because such services involve the use of MLS listing data, it is appropriate for the MLS to establish various requirements on the use and display of that data. But it would not be appropriate to disadvantage one method of offering brokerage services, such as VOWs, by imposing requirements that are not equally applicable to other ways in which participants provide brokerage services, such as when clients and customers visit a broker’s office in person, or when the broker provides information and service to clients and customers via telephone, fax, or email.
Requirements may be imposed on operation of a VOW and not applied in other contexts only where they address issues or concerns that are unique to providing brokerage services in the Internet context, such as by requiring the VOW operator to employ security measures designed to protect the MLS listing data from unauthorized access and use.
Q 5.3 Must “virtual” offices and “traditional” offices be treated identically in all respects under the VOW policy?
A. No. The VOW policy allows MLSs to establish certain rules or requirements that apply only to VOWs. These are:
· Listings obtained from other sources (e.g., other MLSs, non-participant brokers, or other sources) must display the source from which they were obtained.
· Passwords may be valid for a period as determined by the MLS, after which they must be changed or reconfirmed at the discretion of the VOW operator.
· Non-principal brokers and sales licensees may operate their own VOWs only if permitted by the MLS.
Q 5.4 What types of information ordinarily available to participants and subscribers must be deleted before listings are made available to consumers via VOWs?
A. Any information determined by the MLS as being either confidential or intended exclusively for other participants.
Q. 5.4.1 Can I provide consumers the same information via my VOW that I can give them in my “brick and mortar” office?
A. Since VOWs are acknowledged under NAR policy as a means of providing real estate brokerage services via the Internet (except where state law or regulation provides otherwise), participants are entitled to provide clients and customers with listing information containing the same degree of detail as participants can in their physical offices or through other delivery mechanisms. Once an MLS adopts and implements the VOW policy, any VOW-specific MLS data feed must include the same data participants are otherwise permitted to download and provide to consumers through other delivery mechanisms.
Q 5.5 Can there be “advertising” on VOWs?
A. VOW operators are free to advertise on their VOWs except on pages displaying other participants’ listings. No advertising can be visible on pages displaying other participants’ listings (or any portion of their listings) except that the name, address, phone number and company logo of the participant operating the VOW; the name, address, and phone number of any non-principal broker or sales licensee operating the VOW (where permitted); and any information required by state law is not considered prohibited advertising.
Q. 5.5.1 Can the logos or branding of other companies be displayed on my VOW?
A. MLS participants may display logos and branding of third-party companies on their VOWs with the caveat that if the MLS adopts the optional “clean page” provision of the VOW policy, then third-party logos, branding and other advertising may be prohibited on pages where listings of other brokers appear. Adoption of the optional “clean page” rule does not bar MLS participants operating VOWs from displaying their name, address, phone number or company logo, or information required by state law or regulation, on pages where listings of other brokers appear.
If an MLS prohibits display of third-party logos, branding and other advertising on VOW pages where other participants’ listings appear, the MLS must also adopt an equivalent rule prohibiting display of third-party logos, branding and other advertising where other participants’ listings are provided to clients and customers using offline delivery mechanisms.
Q 5.6 Can MLS data be changed or supplemented?
A. MLSs may adopt, as a matter of local discretion, rules expressly prohibiting changes to MLS data. MLSs may also adopt, as a matter of local discretion, rules permitting MLS data to be supplemented with additional information, provided that the source of the supplemental information is identified. If MLS rules permit supplementing MLS data, equivalent requirements must be established governing use of MLS listing information to provide brokerage services via all other delivery mechanisms (including traditional “brick and mortar” offices).
Q 5.7 Should there be an “accuracy disclaimer” on VOWs?
A. While MLS information in generally considered reliable, MLSs do not guarantee its accuracy. If an MLS adopts rules requiring VOW operators to include a notice indicating the MLS does not guarantee the accuracy of MLS information, an equivalent requirement must be imposed on participants’ use of MLS information in providing brokerage services via all other delivery mechanisms (including traditional “brick and mortar” offices).
Q 5.8 Must the name of the listing firm be displayed when their listing(s) is made available on another participant’s VOW?
A. An MLS may, as a matter of local discretion, require that listings displayed on VOWs identify the name of the listing firm, provided an equivalent requirement is imposed on participants’ use of MLS information in providing brokerage services via all other delivery mechanisms (including traditional “brick and mortar” offices). MLSs and VOW operators will want to determine if state law or regulations require display of the listing firm’s name.
Q 5.9 Are there special requirements related to disclosing the name of the listing firm?
A. As noted in the answer to Question #5.9, MLSs may, as a matter of local discretion, require that listings displayed on VOWs identify the name of the listing firm, provided an equivalent requirement is imposed on participants’ use of MLS information in providing brokerage services via all other delivery mechanisms (including traditional “brick and mortar” offices). If such a requirement is established, the name of the listing firm must be identified in typeface not smaller than the median typeface used in the display of listing data.
Q 5.10 How many listings can a consumer retrieve, view or download in response to an inquiry?
A. The VOW policy does not establish any limit on the number of listings that may be viewed, downloaded or otherwise provided to registrants. The policy does allow MLSs, as a matter of local discretion, to establish reasonable limits on the number of current listings (or, if permitted, “sold” listings) that may be viewed, retrieved, downloaded or otherwise provided to registrants, provided an equivalent requirement is imposed on participants’ use of MLS information in providing brokerage services via all other delivery mechanisms (including traditional “brick and mortar” offices).
Q 5.11 If an MLS does not permit VOW registrants to retrieve, view or download “sold” listings, may they still be made available to consumers via other methods of delivery?
A. If an MLS, as a matter of local determination, chooses not to permit participants to make “sold” listings available to registrants via their VOWs, an equivalent restriction must be imposed on availability of “sold” listings through other delivery mechanisms (including participants’ traditional “brick and mortar” offices).
Q 5.12 If an MLS does not permit VOW registrants to retrieve, view or download “sold” listings, may VOWs nonetheless still provide registrants with CMAs (“comparative market analyses”)?
A. A distinction should be drawn between raw data, including “sold” listings, and use of such information to develop or support opinions of real property value or price such as appraisals, broker price opinions and CMAs. The fact that an MLS, as a matter of local determination, precludes participants from making “sold” listings available to consumers does not bar participants from developing and delivering CMAs or other opinions of value or price via VOWs or any other delivery mechanism (including traditional “brick and mortar” offices) even though such opinions are based on “sold” listings or include “sold” listings to support their conclusions.
Other issues
Q 6.1 Can listings from other sources (e.g., non-participant brokers, “FSBOs”, etc.) be displayed in response to a single search on a VOW?
A. VOW operators may display listings of other brokers obtained from sources other than the MLS. MLSs may, as a matter of local discretion, require VOWs to identify the source of such listings.
Q 6.2 Our firm has several offices. Each office participates in a different MLS. Can we have a single VOW that “commingles” listings from all of the MLSs in response to a single search?
A. No. If a firm has different MLS participants in different MLSs, they cannot “share” MLS data to populate a common VOW. VOW operators only have authority to display listings made available by the MLS (or MLSs if a participant belongs to more than one MLS) in which they have participatory rights. A firm could have a “master” website with links to each VOW the firm’s participants operate. In that case, though, each VOW would have to be searched separately by registrants.
Q 6.3 Can sellers direct that their listings – or that just the address of their property – not be available on other participants’ VOWs? If they do, how is this accomplished?
A. If a seller directs the listing broker that the listing should not be displayed on the Internet (which includes, but is not limited to, publicly-accessible websites and VOWs) or, alternatively, that the property’s address not be displayed on the Internet, the seller’s direction must be respected. As noted in an earlier answer, MLSs may, but are not required to, have the ability to remove a particular listing from the “VOW download” (if a separate download is provided exclusively for purposes of providing content for participants’ VOWs). MLSs may also, but are not required to, have the ability to remove the address from particular listings that are part of any “VOW download”.
If the MLS does not offer these functionalities, it would be the listing participant’s responsibility to make other participants operating VOWs aware that a particular listing could not be displayed on their VOWs, or that the address of a particular listing could not be displayed on their VOWs. This may be difficult, particularly in large MLSs. Consideration could be given to using the MLSs email function (if available) to communicate such information to other participants.
In instances where listing brokers are not confident that an MLSs technical functionalities and other methods of communicating with other VOW operators are adequate to ensure sellers’ directions can be complied with, listing brokers may want to discuss these issues with sellers when entering into listing agreements.
Q 6.4 Can VOW operators limit the listings available on their VOW? What are appropriate limiting criteria a VOW operator might use?
A. VOW operators are not required to make every listing in the MLS available to registrants. VOW operators may select the listings they will make available to registrants using objective criteria including geographic area, listed price, property type, cooperative compensation offered by the listing participant, etc. If a VOW operator chooses to limit the properties that registrants can retrieve, view or download to something less than all listings in the MLS, they will want to ensure that any representations they make about availability of properties meets the “true picture” requirement established in the Code of Ethics.
Q 6.5 Must VOW operators have a “privacy policy”? Must it be made available to consumers? What must be disclosed?
A. The VOW policy requires that VOWs display the operator’s “privacy policy” to registrants. The privacy policy must, at a minimum, explain to registrants how information they share via the VOW may be used by the VOW operator.
Q 6.6 Can I refer Registrants to other brokers? Are there any limits or conditions on how VOWs can be used to generate referrals?
A. The VOW policy prohibits any sale of registrant-provided information (names, phone numbers, email addresses), except that it permits referrals to other real estate brokers made for compensation where (1) the VOW operator’s residential real estate brokerage activities principally consist of listing or selling (or both) the types of properties required to be filed with the MLS (under the MLS’s rules); (2) a registrant is seeking property of a type, in a price range, or in a location for which the VOW operator does not ordinarily provide real estate brokerage services; and (3) the number of registrant identities provided, or the corresponding revenue generated form providing registrant identities, is an insubstantial portion of the VOW operator’s real estate brokerage activities.
Q 6.7 How long are Registrants’ passwords good for? Can they be renewed or must a new password be assigned?
A. Registrants’ VOW passwords and access to VOWs must expire on a date certain. MLSs may, as a matter of local determination, establish a maximum period of time after which passwords must be changed or reconfirmed. Whether a password is reconfirmed – or a new password is issued – is determined by the VOW operator.
Q 6.8 Can an MLS require VOWs to use data security protection, for example, “firewalls”?
A. Participant’s VOWs must protect MLS data from misappropriation by making reasonable efforts to monitor and prevent “scraping” and other unauthorized accessing, reproduction or use of MLS information. MLSs that provide a “persistent” VOW download may also require VOWs to use appropriate security protection, such as firewalls, but may not impose security obligations greater than those measures used by the MLS itself.
Q. 6.9 Does the MLS have the right to enter my VOW?
A. The VOW policy requires that VOWs be directly accessible to the MLS for monitoring to ensure compliance with applicable rules and policies. Also, VOW Terms of Use agreements must expressly authorize the MLS and other MLS participants’ access to VOWs for the sole purpose of monitoring compliance with applicable MLS rules and policies.
Q. 6.10 My MLS has concluded that it does not have the technology and other resources necessary to monitor participants’ VOWs. Does that affect my right to operate a VOW?
A. The fact that an MLS is unable – or chooses not – to monitor participants’ VOWs to ensure compliance with either the MLS’s general rules and regulations as they relate to VOWs or with VOW-specific rules and regulations is not a basis for an MLS to preclude participants from operating VOWs.
(revised 6/05)
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