Last Updated: August 21, 2026
Federal and state policymakers continue to consider issues that could affect how MLSs manage data, support transparency and operate within the housing market.
Here are the key developments MLS leaders should be watching this month:
- Federal housing funding remains unsettled.
The House has proposed reducing HUD’s discretionary funding by roughly $6 billion, including changes affecting fair housing programs and enforcement. The Senate has not yet released its own housing funding bill, so final funding levels remain unresolved. Congress will return in September to continue negotiations. - Federal privacy proposals could affect MLS data practices.
The SECURE Data Act remains unlikely to become law in its current form, but it offers a preview of the types of requirements MLSs may face under a future national privacy standard. These could include consumer rights to access or delete personal information, limits on data collection, stronger vendor contract requirements and new privacy notices for homeowners and sellers. Most 501(c)(6) MLS organizations would not qualify for the bill’s nonprofit exemption. - Congress continues to pursue a national approach to AI.
A bipartisan AI proposal previously discussed in draft form was formally introduced in July as the FRONTIER Act. A separate Senate proposal is also being developed. Neither creates an immediate new requirement for MLSs, but both signal continued interest in replacing differing state AI rules with a national framework. - State listing-transparency activity has narrowed.
Washington’s law is already in effect, Connecticut’s takes effect October 1, 2026, and Wisconsin’s takes effect January 1, 2027. New York legislation has passed both chambers and is awaiting the governor’s signature. Bills previously being tracked in Hawaii and Illinois have died in committee, and no new state proposals were identified this month. - State scrutiny of private listings continues.
State attorneys general continue to interview local real estate professionals about market competition and the use of private or exclusive listings. No enforcement action has been announced, but listing transparency and competition remain active policy issues.
What MLS leaders should watch next
As Congress returns in September and state activity continues, CMLS is watching:
- HUD funding and fair housing programs — particularly whether proposed funding reductions or enforcement limitations remain in the final legislation.
- Federal privacy legislation — especially requirements affecting homeowner data, data sharing, vendor agreements and consumer rights.
- AI regulation — including whether Congress moves toward one federal standard that overrides state requirements.
- State listing-transparency laws — particularly implementation in Connecticut and Wisconsin and action on the New York bill.
- State competition investigations — including whether current information-gathering related to private listings leads to formal action.
Champions of MLS makes this work possible
CMLS is able to bring these updates to our members thanks to our Champions of MLS supporters.
Their support helps CMLS monitor policy developments, translate complex issues into practical information for MLS leaders and strengthen the MLS voice in conversations about transparency, competition and the future of the real estate marketplace.