Zillow’s Potential Ban on FSBO & Private Listings: What Colorado Sellers Need to Know

Zillow and Redfin are reportedly planning to ban private and For Sale By Owner (FSBO) listings from their platforms. As a Denver-based agent, I believe this is a significant moment in our industry that demands attention. Here’s what these changes mean for Colorado sellers, buyers, and agents.

What Are FSBO and Private Listings?

FSBO listings are homes sold directly by owners, without a listing agent. Sellers often list on sites like Zillow to gain exposure without paying commission. Private or pocket listings are marketed off the MLS — shown only to selected buyers or internal brokerage clients. These listings have existed in tension with industry transparency standards, especially since the NAR Clear Cooperation Policy was adopted in 2019.

Zillow’s New Policy

In April 2025, Zillow announced that it will begin removing all listings that are marketed to the public but not posted to an MLS. This includes both private and FSBO listings. According to a report from Business Insider, Zillow executives claim the move is designed to support transparency and ensure buyers have access to every home for sale. Redfin quickly followed suit, stating that it would also require public listings to appear on the MLS.

Redfin and Industry Support

Redfin now aligns with Zillow’s policy. Both companies say MLS cooperation ensures equitable access and discourages discriminatory practices. Brokerages like eXp and NextHome support the change. Critics, including Compass and CoStar (owners of Homes.com), argue the policy limits seller freedom and benefits large portals by consolidating control over listing visibility.

What It Means for Colorado Sellers

• FSBO listings will vanish from Zillow and Redfin. You’ll likely need to hire a flat-fee MLS service or work with a Realtor to get visibility.
• Private listings will be harder to execute. If a listing is marketed publicly — even on social media — it must be on the MLS or risk being excluded from Zillow entirely.
• MLS access becomes essential. Exposure to buyers through Zillow, Redfin, and Realtor.com now fully depends on MLS syndication.

What It Means for Buyers

For buyers, this policy creates a more level playing field across all websites where the MLS syndicates listings. You won’t miss out on hidden listings since all listings will be required to be pushed to a broader set of marketing channels vs just Zillow, and every serious home for sale should appear in your feed. But with higher visibility for all homes, competition may intensify, reducing chances of snagging less well marketed homes.

My Take as a Denver Real Estate Broker

I support transparency but oppose removing a seller’s right to choose their marketing strategy. While MLS exposure often helps sellers get top dollar, forcing all listings through the MLS reduces flexibility, especially for unique cases or owners trying to save on costs. If Zillow truly bans FSBOs, sellers lose a cost-effective option that has served many well.

That said, Denver sellers and buyers should prepare for a landscape where MLS = visibility. If you're selling, talk to an agent about your options. If you're buying, rest assured your search results will be more complete — but don’t delay when a listing hits the market.

Sources

• Business Insider: Zillow announces new listing rules
• Zillow: For Sale By Owner Information
• Redfin’s Policy Update
• NAR Clear Cooperation Policy