Realtors Hail Passage of Bill Restricting Private Home Listings in New York State
WHITE PLAINS—The New York State Association of Realtors and the Hudson Gateway Association of Realtors applauded the recent passage of the Fair and Transparent Real Estate Listing Act by the New York State Legislature that requires timely public advertising or marketing of listed residential properties on platforms accessible to the general public unless a seller opts out.
The bill is intended to restrict pocket listings and the practice of marketing listings to exclusive platforms or networks. If the measure is signed into law by Gov. Kathy Hochul, New York would become the third state in the nation, joining Washington and most recently Connecticut, in enacting such legislation. Connecticut Gov. Ned Lamont signed the real estate listings bill into law on May 27.
The bill sponsored by (D-34th District) and Assemblymember Michaelle Solages (D-22nd District). The measure passed the State Senate on June 2 by a 60-0 margin, while the Assembly advanced the bill by a 125-2 vote on May 29.
The bill also increases the fines for Realtors found in violation, from $2,000 to $5,000, up to revocation of license. The bill permits non-public marketing only “where the seller gives informed, written direction after receiving a standardized state disclosure (form) that clearly explains the risks and tradeoffs of withholding a listing from public marketing.”
“For most families, buying or selling a home is one of the most significant financial decisions that they will ever make,” Sen. Fernandez told Realtor.com. “Those decisions should be made in a marketplace where information is broadly available. Not hidden behind private networks that limit who can see the listings, and when they can see them.”
The New York State Association of Realtors and the Hudson Gateway Association of Realtors have both advocated for the passage of the Fair and Transparent Real Estate Listing Act.
“NYSAR strongly supports the ‘Fair and Transparent Real Estate Listings Act.’ We thank Senator Fernandez and Assemblymember Solages for their sponsorship and state lawmakers for the passage of the legislation,” NYSAR stated. “We believe the Act strikes the appropriate balance between educating sellers and lessors regarding the use of private listing networks while preserving consumer choice regarding the advertisement and sale of their residential property.”
HGAR President Rey Hollingsworth Falu said, “The Hudson Gateway Association of Realtors applauds the Legislature’s near unanimous passage of the Fair and Transparent Real Estate Listing Act. By ensuring that residential properties are marketed on publicly accessible platforms, unless a seller knowingly opts out, this bill codifies the spirit of NAR’s Clear Cooperation Policy and levels the playing field for buyers and sellers alike. Open marketing expands opportunity, deters discrimination, and ultimately yields better outcomes for consumers.”
He noted that by mandating prompt, broad exposure of listings and increasing penalties for non-compliance, the Act promotes competition, reduces ‘pocket’ deals that can limit a seller’s reach, and safeguards the public trust in the real estate profession.
“The ‘Fair and Transparent Real Estate Listing Act’ gives every seller an informed choice. Before anyone can keep a home off the open market, the law forces agents to present the state’s Disclosure Form for Seller Opt-Out of Public Marketing, where sellers must initial each caution to affirm that reduced marketing ‘Reduced visibility to buyers,’ ‘Limited online exposure,’ and ‘Fewer offers and possible impact on price and timing.’ Only after acknowledging these risks may a seller proceed with a private-network strategy,” Hollingsworth Falu added. “That level of candor is exactly what builds public trust while still preserving homeowner autonomy. We applaud the Legislature for embracing clear-cooperation principles and urge Governor Hochul to sign the bill without delay.”
HGAR Chief Executive Officer Grace Smith stated, “Many of the concepts being discussed in this legislation are not new to Realtors. Through the Clear Cooperation Policy, our members have already been working within a framework that promotes transparency and broad access to listing information. What this proposal would do is move certain expectations from industry policy into state law.”
She added, “Transparency is incredibly important, and our focus should always be on the consumer. Consumers deserve to understand their options and have the information they need to make informed decisions. Regardless of the outcome of this legislation, we will continue to provide our members with the education and resources they need to serve their clients professionally while supporting a transparent, consumer-focused marketplace.”
