Key facts
- Hagens Berman is seeking plaintiffs for a class action lawsuit against Compass International Holdings and Chicagoland MLS Midwest Real Estate Data (MRED).
- The law firm alleges Compass and MRED control 98% of the Chicago real estate listing market.
- Attorneys claim buyers are shut out of privately listed homes and arrive at open market listings without key pricing information.
- Compass data shows homes starting as "Private Exclusive" or "Coming Soon" sold for 4.6% more than comparable homes listed directly on the MLS.
- Hagens Berman alleges Chicago area homebuyers have been paying the difference in inflated prices.
- Compass and MRED are also defendants in an antitrust lawsuit filed by Zillow.
Hagens Berman, a law firm known for its involvement in real estate litigation, is reportedly seeking plaintiffs for a potential class action lawsuit against Compass International Holdings and Chicagoland MLS Midwest Real Estate Data (MRED). The firm alleges that these entities collectively hold a 98% share of the real estate listing market in Chicago and use this dominance to inflate home prices for buyers.
According to Hagens Berman's website, the alleged effect of this market control is twofold: most buyers are unaware of privately listed homes, and those that do reach the open market are presented without crucial pricing information, such as days-on-market data. This lack of information, the firm claims, prevents buyers from accurately assessing whether a home is overpriced, leading them to pay inflated prices.
A Compass analysis of 70,809 of its own transactions between April 2025 and March 2026 indicated that homes initially listed as "Private Exclusive" or "Coming Soon" sold for 4.6% more than comparable homes that were immediately listed on the MLS. Hagens Berman interprets this figure not as a seller benefit, but as a cost to buyers who bid on homes priced above open market value.
The law firm stated that a class action lawsuit would aim to "level the playing field" and hold powerful companies accountable. Compass and MRED are also currently defendants in an antitrust lawsuit initiated by Zillow, which accuses them of conspiring to withhold MRED's listing feed from Zillow, thereby harming consumers in the Chicagoland market.