The purpose of the MLS to is enable a more efficient marketplace to occur between brokers by distributing information. When a real estate agent is introduced to a potential home buyer, the agent can search the MLS system to retrieve information about homes for sale in that area. The MLS permits that agent to view information about homes represented by OTHER brokers, just as a securities broker can see the price of stock put up for sale by other brokers through the securities exchanges. The MLS is an exchange for real estate, just as the New York Stock Exchange and NASDAQ are exchanges for securities, but the MLS is not an open exchange or a public exchange. Unlike securities exchanges, which have government oversight (the Securities and Exchange Commission), the MLSs are governed by private entities and the rules are set by those private entities with no state or federal oversight.

The MLS typically combines the listings for all available properties that are represented by a broker that is a member of the MLS. Membership to the MLS is generally considered to be essential to the practice of real estate brokerage -- a broker that is not a member cannot put information into the MLS or access information submitted by other brokers.

Most MLSs restrict membership and access to real estate agents who are 1) licensed by the state (or province), and 2) members of the trade association (e.g., the National Association of Realtors or Canadian Real Estate Association). Generally, a person selling his or her own home (i.e., for sale by owner) cannot put a listing for their home directly into the MLS. Similarly, a properly licensed broker that chooses to neither join the trade association nor operate a business within the associations's rules, cannot join the MLS.

In general, MLSs are private entities that set their own rules for membership, access, and sharing of information. An MLS may be owned and operated by a real estate company, a real estate board, or a trade association.

In general, the public cannot gain access to the MLS. Individual brokers who are members of the MLS may provide information to potential buyers in different ways -- providing specific listings on paper in an office is customary. An agent may also email or fax listings. However, real estate brokers sometimes use their websites to permit potential buyers to see MLS data, and is the subject of significant controversy.

While the in general statement above talks about generality, the fact is, there are sites that allow a home owner and any state authorized agent to list homes at no cost - no listing fee, no membership fee and no commission. Some of these sites are neither owned by agents or any one interested in making a living out of selling real estate. They allow any owner of a home and any state approved real estate agent - Realtor and non Realtor agent to list any home at no cost or membership fee. You can see all the listings at no cost.