1. Tom Phillips, TREND Ken Schneider, TREND

2. Background September 2015 – TREND/MRIS announce plans to form new regional MLS organization Outlined a vision on how to better serve brokers and agents Invited neighboring organizations who shared vision to participate October 2015 – Informational meeting with neighboring organizations January 2016 – 10 Organizations in region begin discussions to explore opportunities

3. What is driving MLS consolidation? Brokerage Firms Consumer access to Information Rapid pace of TechnologyArbitrary BoundariesIndustry Seeking Solutions

4. UpstreamAMP™RPR Broker Portal Project RESO Current Industry Initiatives

6. Overlapping Markets Duplicate listings Duplicate searchingDuplicate feesDuplicate data feedsThird parties empoweredReal Estate Professionals hindered

7. RAYAC Market Overlap Three firms have 43% market share - cross multiple MLSsLargest 10 firms all belong to more than 1 MLS8.3% (or more) of subscribers belong to multiple MLSs56% duplication in listing entryUnnecessary fees and cost of duplicate entry Confusion among real estate consumers

9. New York Baltimore Philadelphia Washington Reading, PA Allentown, Bethlehem, Easton PA York, PA Harrisburg, PA Atlantic City, NJ

10. The Vision “To create the next era of MLS that preserves compensation and cooperation, promotes the expansion of an orderly and efficient marketplace, and provides participating brokerage firms greater control of and access to their listing content.”

11. Create New MLS Organization Composed of like-minded Organizations Working together to transform the Model of MLS Recapturing the Faith of Constituents Pioneering Innovative solutions The Plan

12. The Opportunity Expanded real estate marketplace 70,000+ agents 6 states plus DC Population of almost 17,000,000 7,000,000 on and off market listings 10,000,000 property parcels Enhanced agent technology Engaged brokerage community

13. The Value of MLS Orderly Marketplace Comprehensive Data Cooperation and Compensation Efficient for Buyers and Sellers

14. The Value of REALTOR Association Critical to the Industry AdvocacyEducation Professional Standards Information Resource Lockboxes

16. Access to a Broader Marketplace More intuitive Product & Service Offerings Reduced fees for better Integration of MLS tools and data Facilitates common practices Product Choices Additional Support Opportunities Subscriber Benefits

17. The Basic Service Upgraded Products and Services Options Potential premium products Localization Customization: Local data sets; market customs and differentiating factors based on county, state or laws Benefit: Part of a larger organization with the ability to serve a local marketplace The Product, Service, and Price Choices Subscriber Benefits

18. MLS searching across broad geography Rich and highly integrated assessor/public record data Mortgage, foreclosure, community, school, and flood data Robust mapping functionality Appointment Management tools Drive time and lifestyle searching Predictive analytics Locally tailored closing costs Basic Service Subscriber Benefits

19. Intuitive Interactive Choice Responsive Mobile Technology: Needed Innovation Subscriber Benefits

20. Account Executives Office visits/training Assigned to local area Membership meetings Helpdesk 7 Days/week – answer all questions Phone, chat, email, and online All subjects and issues captured Subscriber Input Support Subscriber Benefits

21. Eliminate Redundant Technology Costs Access to a Broader Market Area Consistent MLS Rules and Polices Benefits of the Increased Buying Power Brokerage Firm Benefits

22. Ability to Influence and Participate in the Formation Owners of the New Organization Tangible Benefits, as Determined Through the Governance Structure REALTOR® Association Benefits

23. Current Phase: Create Structure to Proceed Define Governance and Ownership Structure Determine how to Capitalize Define base level products and services Determine Pricing for New Organization Determine technology Create transition plans Each organization decides

24. Next Phase: New Organization Created, Founding Members Sign Legal Documents Completed Customized Transition Plans Finalized for Each Organization Integration Efforts Begin

25. Final Phase: Implementation (6-36 Months) Implementations Begin New Technology Delivered

26. The potential impact of a Stronger, Better MLS Organization? Positions all stakeholders to better compete Leaders of the MLS industry Provides strength in numbers Includes the best practices of each organization Provides more advanced technology Delivers unparalleled value to Brokers and Agents Increases control and legal clout

27. What’s Next???You Decide…

28. Buckminster Fuller Quote “You never change things by fighting the existing reality. To change something, build a new model that makes the existing model obsolete.” - Buckminster Fuller

29. tphillips@trendmls.com kschneider@trendmls.com Thank you!