Executive Summary
The real estate industry just changed. The NAR settlement moved compensation offers off the MLS and added new rules for agents who use REALTOR owned MLSs. Those rules are real. They are enforceable inside NAR’s ecosystem. They are not federal law. If you are not a NAR member and you use an independent MLS, most of those rules do not bind you.
Key takeaways
- Non NAR agents avoid the new MLS field bans inside NAR’s ecosystem. They avoid the buyer agreement mandate unless state law says otherwise. They avoid NAR’s data feed restrictions
- Independent MLSs like MyStateMLS continue to allow co operative compensation fields and do not require buyer agreements before showings
- Thompson states already operate with non REALTOR MLS access. That model will influence expansion strategies across the Sun Belt and beyond
- The future is local. NAR’s 2026 handbook returns more policy choices to local MLSs. Brokers will select memberships and data partners based on value, not compulsion.
NAR Settlement Rules ONLY Apply To NAR Members (Realtors)
I don’t think that a lot of agents realize that all of these commission related rules are just what the National Association of Realtors agreed to when they settled out-of-court in the case of Burnett v. National Association of Realtors. One of MANY lawsuits NAR is facing for their deceptive practices.O
Advertising commissions for buyers agents on the MLS only applies if it’s a Realtor owned MLS.
It’s business as usual for Thompson Brokers (NON-Realtor Brokers, NON-NAR Brokers) and their agents.
Breaking Free from NAR: Rules That No Longer Apply
This article explains exactly what rules non NAR agents get to avoid. It shows how independent MLSs like MyStateMLS are operating today. It clarifies why the Thompson precedent already allows non REALTOR access in Florida, Georgia, and Alabama. It also covers NAR’s 2025 decision to modernize its MLS Handbook and return more discretion to local MLSs starting January 2026.
The Netflix Analogy
Imagine your grandparents subscribe to Netflix. Now every aunt, uncle, and cousin in different houses must pay for Netflix too. Even if they do not watch anything. If the grandparents cancel, everyone loses access
That is how forced membership has felt in real estate. If the state Broker of Record is a REALTOR, everyone under that license is expected to be a REALTOR in many markets. If the broker joins the local MLS, every agent in the company is often required to subscribe in that service area
The new NAR settlement cracks that model open. It moves offers of compensation off the MLS and mandates written buyer agreements for NAR MLS participants. It also sits alongside a separate 2025 decision to rewrite the MLS Handbook so local MLSs can decide more for themselves starting January 2026.
Why the NAR settlement changed everything
NAR agreed to practice changes in 2024 as part of a nationwide settlement. These changes include
- Removing broker compensation fields from REALTOR owned MLSs
- Prohibiting publication of compensation offers on those MLSs
- Requiring buyer broker agreements before touring for participants who work with buyers
- Restricting use of MLS data to build or support off MLS mechanisms for aggregating compensation offers
You can read these items in NAR’s materials and in MLS implementation guides
Important context. These are NAR rules. They are not federal statutes. Independent MLSs that are not REALTOR owned are outside the settlement unless they choose to opt in or copy the rules.
The forced membership cascade explained
The cascade works like this in many markets
- Broker is a NAR member. Agents under that license are expected to be members too under the typical three way agreement structure
- Broker is an MLS participant. Agents under that broker commonly must subscribe in that service area to access or input listings
The settlement did not directly abolish all of these cascades. But NAR’s separate 2025 MLS Handbook rewrite does place more power back at the local MLS level as of January 2026. That means more MLSs can set their own access and participation requirements.
Who is not bound by NAR rules
Independent MLSs
Independent MLSs are not owned by REALTOR associations. They are not automatically subject to the NAR settlement. One example is MyStateMLS which stated publicly that it will continue to allow a co operative compensation field and will not require buyer broker agreements before showings
Non NAR brokerages and agents
If you are not a NAR member and your MLS is independent or open, the NAR settlement rules do not bind you. You must follow state law and your MLS rules. You are not obligated to follow NAR’s buyer agreement mandate or its MLS compensation field ban if your MLS does not adopt them
Thompson Broker states
In the Eleventh Circuit, the Thompson v. DeKalb County Board of REALTORS decision opened MLS participation to non members. This is why you see long standing non REALTOR access in Florida, Georgia, and Alabama. The case is older, but its effect remains part of the legal backdrop in those states.
The rules non NAR agents avoid
1. The compensation field ban on REALTOR MLSs
REALTOR owned MLSs have removed the compensation fields. Independent MLSs have not. MyStateMLS says it will keep a co broke field and even added a Request to Co Broke workflow button. This means you can still publish cooperation terms inside that platform.
2. Mandatory buyer broker agreements before touring
NAR MLS participants working with buyers must have a written agreement before showings. Non NAR brokers follow state law and their own policies. Independent MLSs did not adopt the NAR mandate.
3. IDX and data feed restrictions around compensation
REALTOR owned MLSs cannot use MLS data to support platforms that aggregate offers of compensation. They also removed or blocked compensation content flowing through IDX and related feeds. Independent MLSs can still display compensation where local rules allow.
4. NAR Code of Ethics enforcement
NAR members agree to the Code of Ethics and local enforcement. Non NAR agents are not subject to those association proceedings. They must comply with state law and their MLS rules.
Competitive advantages for non NAR brokerages
Lower operating costs
No NAR dues. No state or local association dues tied to NAR. Fewer required MLS subscriptions inside association territories when you operate on an independent MLS footprint
Context: NAR dues and membership framework and coverage on budget adjustments after the settlement in NAR updates and industry press.
Marketing flexibility
You can still publish cooperative compensation inside independent MLSs that allow it. You can communicate cooperation directly and consistently. You can build repeatable off MLS workflows that support buyer representation without guesswork
Recruiting and retention
Offer agents real choice. No mandatory dues. No extra paperwork before the first showing unless state law requires it. Build culture around performance, tools, and service instead of association compliance
Multi state expansion
Independent MLS access plus the Thompson landscape in FL, GA, and AL opens simple routes to scale without replicating association ties in every region
State law vs NAR rules
Remember the line. NAR settlement rules are organizational. They are not federal law. You must still comply with state license law, agency disclosures, fair housing, advertising rules, and contract law. You do not need to adopt NAR’s settlement practices if you are not a member and your MLS is independent or open.
Where this is going
NAR has now modernized its MLS Handbook after a risk assessment. The update is scheduled to take effect with the 2026 handbook. The theme is local discretion and modernization. Expect more markets to decide for themselves how open access should work and how enforcement should function.
The direction is clear. MLS policy is decentralizing. Associations will have to compete on value. Brokers will choose the model that fits their agents and clients.
Comparison table
| Feature or rule | REALTOR MLS after settlement | Independent MLS like MyStateMLS | Non NAR brokerages |
|---|---|---|---|
| Commission field for buyer agent | Removed in the MLS | Allowed in listing input | Allowed off MLS |
| IDX and portal compensation display | Prohibited via MLS data | Allowed per MLS policy | Allowed off MLS |
| Buyer broker agreement before showings | Mandatory for participants working with buyers | Not required by MLS | Not required unless state law |
| NAR Code of Ethics | Required for members | Not required | Not required |
| Membership dues | Broker and all agents pay NAR, state, local | None tied to NAR | None tied to NAR |
| MLS access | Often tied to association membership, with more local discretion arriving in 2026 | Open access without NAR | Open access via independent or open MLSs |
| Marketing flexibility | Restricted in MLS fields and feeds | Flexible | Flexible |
FAQs
Can I still offer buyer agent compensation publicly
Yes. You can do that inside independent MLSs that allow a co operative field. You can also communicate compensation off MLS by email, showing instructions, or brokerage channels
Do I have to get a buyer broker agreement signed before showing homes if I am not a NAR participant
Only if state law requires it. The NAR mandate applies to REALTOR MLS participants who work with buyers.
Can I put compensation on my website or in direct marketing
If you are not using MLS data to build a platform of offers of compensation and your MLS is independent, yes. NAR’s restriction applies to REALTOR MLSs and their data feeds.
What if I operate in Florida, Georgia, or Alabama
The Thompson case still informs access in the Eleventh Circuit. Non REALTOR access is long standing there
Do the 2026 MLS policy changes mean all MLSs will drop membership requirements
No. They mean local discretion is now explicit. Each MLS can decide access rules for its market
About MNKY Agency
We help brokers grow. We recruit agents. We build hyperlocal marketing engines. We deliver AIVSO for AI, voice, and search. We design landing pages, email, and automation that move fast and feel human
We also partner with brokerages on a commission only recruiting model. We earn when you earn. Let’s get growing
About the Author
J. Stuart Hill is the founder of MNKY Agency. He has two decades in real estate marketing and real estate agent recruitment. He builds businesses for agents. He builds empires for brokers.
