Case Study: Private Listings on Chicago’s MLS Are More Common in Majority-White Neighborhoods, Raising Equity Concerns
Homes for sale across Chicago’s majority-white neighborhoods are twice as likely to be listed privately as those in majority-non-white neighborhoods. In majority-white areas of the Chicago metro, 7.9% of homes for sale were listed privately on Oct. 21. In majority-non-white areas, that share was 3.4%. A Zillow analysis of home listings in Midwest Real Estate Data (MRED) – the Multiple Listing Service in the Chicago area – shows that homes in majority-white neighborhoods across the Chicago area are more than twice as likely to be listed privately and out of public view as homes in neighborhoods with larger shares of non-white residents. The gap we measure remains significant after accounting for home price, type, location and broker activity. The findings highlight how private listing systems can unintentionally reinforce racial segregation and restrict access to housing opportunities. As some brokerages expand private listings nationwide, similar systems could amplify inequities ...