When Homestore and the National Association of REALTORS® announced their strategic alliance to develop a transaction management platform that would restore the Realtor to the center of the transaction, rumors began to fly that the two organizations were working on a national MLS behind the scenes. Would MLS organizations like to see something like that happen?

With advances in transaction management technologies and pressure from competitors, Homestore and the NAR may be closer to partnering in a national MLS than many may think.

Over a year ago the NAR announced at the mid-year meeting that the organization was working on Internet language standards which would standardize the real estate transaction management platform in operating systems across the country. MRIS, one of the largest MLSs service providers in the country, serving 28,000 members, is already compliant with the new standard, known as the Real Estate Transaction Standard (RETS.)

Last month, Homestore announced its acquisition of Wyldfyre, a leading MLS information services software company, which had been instrumental in the development of the RETS and is working with MRIS on the beta testing of the RETS interface with MRIS. In an official press release, Homestore stated, "The acquisition significantly strengthens Homestore.com's(TM) product offerings for real estate professionals, and is another step in the company's strategy to fully automate the real estate transaction process with innovative Internet-based solutions and emerging wireless technologies."

"Through the WyldFyre suite of products, we are giving real estate agents the ability to leverage the power of the Internet to quickly, easily and efficiently increase productivity and earning power," said Homestore CEO, Stuart Wolff.

The stated goal of the acquisition is to create a transaction management platform for Realtors. Wyldfyre is working on a transaction closing platform called RealtyLink which will share information between principals, service providers and agents. The key feature will be Wyldfyre's integration of wireless technologies in the platform so that agents can access MLS information using wireless devices.

The acquisition could also be a pre-emptive strike against Homeadvisor Technologies, Inc., arguably Homestore's nearest competitor. Homeadvisor today announced a strategic alliance with Interealty, one of the largest MLS software and information services providers. Serving over 260,000 Realtors, Interealty will integrate Realty Desktop, Homeadvisor's office and transaction management platform, into its suite of products for Realtors. According to a company release, the alliance means that Realty Desktop will reach approximately one out of three agents.

In an exclusive conferenced interview with Errol Samuelson of Homestore and Dan Musso, president of Wyldfyre, the two men were asked if the acquisition of Wyldfyre forecast a move toward a national MLS.

Samuelson dismissed the notion with this reply, "Their (Wyldfyre's) biggest product line is desktop interface software," said Samuelson. "They sell the interface tools, not the core database systems."

But since the interview, Realty Times has uncovered a strategic planning document which was seeded at the MLS Executive meeting at the November convention last year. Conspicuously absent is the cover page and author, but the intention of the document is clear - to feel out the affected parties and their level of interest in consolidating information into a single repository to the expedition and benefit of participating members.

The document, "Strategies for a Real Estate Information Services Cooperative," is reprinted below in its entirety. Of special note is the list of seven early supporters, all officers of "Gold Alliance" MLSs, including MRIS.

An MLS executive confirms that the topic of a cooperative is on the agenda at the Connection 2000 event, an annual meeting of large MLs executives from the largest MLSs, to be held in Chicago in June.

What does this document mean? Are the MLSs circling the wagons? Or is it the beginnings of a business plan which will make the MLSs more powerful as a cooperative?

If that is the case, the stakes have just been raised. Homestore and the NAR have just established a new joint venture, FireTap Communications which would provide a full breadth of telecommunications business solutions including high-speed connections, and residential and home office communications services to consumers. According to the announcement, FireTap Communications will "offer a comprehensive array of broadband products and services including high-speed Internet access utilizing DSL, wireless, cable modem and fiber network technology; a range of local and long distance phone connectivity; Internet Service Provider (ISP) access and hosting services; and digital television and entertainment services. "

What's the relationship? MRIS, among other MLS organizations, are also technology solutions providers. MRIS just announced free Internet access and email support for its huge member base, including free hosting services for broker private-label emails.

"I am very familiar with FireTap," says Dale Ross, CEO of MRIS. "They will assist the MLSs in bringing a high speed broadband solution to the agents/brokers.

Ross has always maintained that MRIS is a technology solutions provider. "MLS information management is about 35% of what we do," explains Ross. "The rest is all about making technology work for Realtors."

So are the MLS's allies or opponents of the NAR/Homestore initiatives? "I am sure they will establish some type of partnership with the MLSs so that everyone will benefit," offers Ross. "MRIS is ahead of the curve, but will work with FireTap once they establish their regional presences."

Click here to see: Strategies for a Real Estate Information Services Cooperative

Click here for Part II.

Published: May 18, 2000

Use of this article without permission is a violation of federal copyright laws.

Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68. Order Now Review - Honors In 2006, Blanche was selected among scores of candidates to author two consumer real estate guidebooks for the National Association of Realtors: The NAR Guide to Home Buying, and The NAR Guide to Home Selling, Wiley & Sons. She is currently planning two new books for the NAR and its members.       Known for her keen insight into real estate industry issues and for her ability to make complex subjects easy to understand, Blanche is a sought-after keynote and continuing education speaker. Real estate organizations from MLSs, to brokerages, to franchisors, to associations hire her to provide up-to-the-minute analysis of real estate industry news and advice on how to improve revenues. Her passionate delivery, peppered with stinging wit, is a huge hit with audiences and fans. Don Klein, CEO Greater Nashville Association of Realtors, Blanche Evans, Richard Courtney, president 2007, GRAR "The GNAR membership meeting last week featured Blanche Evans as the keynote speaker. Her comments and insights resonated extremely well with those in attendance and we have had many requests for copies of her PowerPoint Presentation. She was a terrific part of the membership meeting and convention program!" - Don Klein, CEO Greater Nashville Association of Realtors Coverage from WSMV, Nashville - 8-14-2007 That Interview Guy - Get Inside The Head Of Today's Generation 2007 AE Institute Session - To purchase 2006 AE Institute Session - Parts 1 2 3 4 5 6 7 8 9 HouseValues Mastermind call - Parts 1 2 Blanche's fireside chat with Jeremy Conaway, HAR - Click here. For more articles by Blanche, click here.