Real Estate MLS Software Development: A Detailed Guide

Multiple listing service (MLS) software is a tool that agents and brokers rely on every single day; it’s the backbone of their operations. And when you create a backbone for businesses, you want to get it right.

We’ve worked on enough real estate projects to become a top Ukrainian IT services company for real estate by Clutch. Along the way, we’ve learned firsthand how to build great MLS software.

Here, we want to share what we know from 10 years of providing real estate software development services. We're about to cover the MLS software development process, approximate costs, functionality, common challenges, and technical decisions that work.

Welcome to our guide on MLS software development.

Stages of custom MLS software development

First, let’s make it clear what to expect when building an MLS solution. The process is not unique and resembles property management software development, which we released a guide about earlier. Usually, development goes this way:

• We kick things off with project discovery. It’s a 3-5 weeks stage when we plan and determine all parts of your product: user roles, functionality, integrations, design, security and other requirements, architecture, everything. Knowing all these from the start saves a ton of headaches (and money) later and helps you get accurate time and cost estimates.
• Next, we move to development. Infrastructure setup, backend, frontend, continuous testing — all this happens here until your app is ready for release.
• Finally, there is a post-release stage. The main focus here is fixes, updates, optimizations, and improvements — everything to keep your platform sharp and competitive.

That’s what MLS software development looks like in a nutshell. Let’s now zoom in on each stage so you know the key actions that result in a solid product.

MLS software discovery phase

The discovery starts with a few calls with you. We will ask you about the product’s business goals, desired functionality, and requirements for the system — everything to understand your needs.

Then, we start shaping your MLS listing software. Step by step, we define your product in more detail, from the list of functionality to precise requirements (what your system must do and how) for each feature. In the end, you can get up to 20 deliverables; here are the main ones :

• Feature breakdown (also called WBS)
• Product requirements & architecture
• Wireframes & interactive prototype
• Development & testing plan
• Risk assessment & mitigation plan
• Cost and timeline estimate

A few things to consider for MLS software

There are many things we consider in the discovery stage to build a solid product from the start. We want to highlight some MLS-specific decisions we never skip:

• Compliance requirements

Depending on your users’ location, you’ll need to follow local, state, and sometimes international laws around data privacy, property listings, and fair housing practices. Exploring the laws and defining compliance requirements is a must-have on project discovery. A few examples are GDPR in Europe, CCPA in California, the Fair Housing Act in the US, and antitrust laws that prohibit anti-competitive practices, collusion, price-fixing, and other activities that restrict competition within the real estate market.

• Integrations

An MLS doesn’t live in isolation; it’s part of a large ecosystem. Think CRM software, real estate platforms, tools for analytics, and other external services. But the thing is, integrations can get tricky, especially if you don’t explore their documentation early. So, after finding out your desired integrations, we always take some time to look through its API documentation and define potential risks and limitations.

• Data exchange standards

If your MLS doesn’t stick to common data exchange standards, it will struggle to connect with others. The main data exchange standards today are IDX, RETS, and RESO. While each has nuances, the Real Estate Standards Organization (RESO) has recommended the RESO Web API since 2016. For MLS, it’s wise to build with RESO standards in mind; it will ensure your platform’s smooth compatibility and consistent data exchange across the real estate ecosystem.

By considering these points, you’ll create a compliant, connected MLS that won’t require tons of re-dos in the middle of development.

Cost and timeline for a discovery stage

In our experience, a discovery stage for an MLS project takes about 3 weeks, and its cost starts at $12,000. Of course, the timeline and cost can shift depending on what you expect as final deliverables, how much prep work you’ve already done, and how big your project is.

For complex platforms, this stage can stretch to 8+ weeks and cost $25,000 — but the time and effort upfront save you a ton of headaches later. Here are the discovery packages we offer our clients:

Check out the full lists of deliverables for each package in our whitepaper:

WHITE PAPER

Project discovery phase cost

Explore key deliverables and rough estimates of the project discovery phase based on the scope of work

MLS software development: Start with an MVP

When project discovery is done, it’s time to gather the development team and get to building your MLS.

Frequently, we start by creating a minimum viable product (MVP) — the version of your product that focuses on addressing the core needs of your audience without going all-in on every possible feature.

Why? Let’s be real: custom MLS software development is not a small investment, and there’s always a chance things won’t go as expected. When you start small, you can test the waters with the essential functionality, minimize software development risks, and adjust your MLS based on user feedback — all without committing $1,000,000 in MLS software development services.

Look at the MVP we built for one of our real estate clients — it’s a great example of how a simple application can improve an agency’s business processes.

Relevant case study:

CASE STUDY

Real estate management analytics platform

Learn how we streamline client’s operations with smart integrations and tailored functionality.

The real estate MLS software development process isn’t unique — you can explore it in our guide on real estate web development. But what’s unique about MLS is its functionality. So, let’s take a look at the essential features of any MLS.

Features to include in your multiple listing service MVP

The idea of the MVP is to focus on delivering maximum utility with minimum functionality. Here are the must-have features to include from the start:

• Role-based access control. MLS is used by different users — agents, admins, brokers, developers — and all of them require specific access levels. Role-based access control ensures everyone gets the right tools and permissions without stepping on each other’s toes.
• Subscription. Whether you’re offering tiered access or charging users per property listings, subscription tools are a must. These handle payments, renewals, and access restrictions seamlessly.
• User profiles. Every user needs a space that displays everything from personalized notifications and messages to recommended properties and access to personal listings.
• Listing management. For agents, the ability to add, update, and remove listings is non-negotiable. After all, it’s one of the core functions of any MLS.
• Admin panel. It’s like a control tower for your MLS. Here, admins can manage users and their permissions, monitor and approve listings, and handle issues.
• List of properties. This is the heart of your MLS. An organized, up-to-date database of properties designed for easy navigation.
• Search and filters. An integral part of the list of properties that helps to find perfect properties fast. Various filters (price, location, property type, etc.) in combination with location-based features like a map view make search a breeze.
• Property details. The purpose of an MLS is to give access to comprehensive information on a property. This feature is here precisely for this. From price, square footage, and property attributes to sales history, stats, and 3D walkthroughs — users can get full information on one page.
• Reporting tools. A solid MLS doesn’t only offer features for distributing listings. It helps agents work with data — crunch numbers on comparables, taxes, market changes, you name it. The reporting tools help agents access insights in an easy-to-follow format
• Messaging tools. Don’t make users switch between apps when they need to send a request or contact another user — a simple chat is enough to streamline communication (and don’t lose users over a small gap in functionality).

The MVP stage is not about developing all features that come to your mind but about selecting essentials and focusing on them first. Time to market is crucial at this stage. Later, when the base is solid and tested, you can layer on advanced features to elevate the experience even further.

MVP development timeline and cost

On average, you’re looking at costs ranging between $150,000 and $200,000 for building an MVP of MLS software with a timeline of at least 6 months.

This estimate covers an MVP with all essential features like property listings, user profiles, an admin panel, a few integrations, basic search capabilities, and reporting tools. But if you’re aiming for something advanced from the start, the team will need more time to finish the scope of work, and the costs can increase significantly.

Maintaining your MLS software solution

After your app MVP is live, you still need to work on it. The maintenance stage is the longest, lasting as long as your MLS exists. The amount of work here can vary depending on your priorities. Maybe you’ll want to build new features based on user feedback. Or maybe you’re happy sticking with the basics. Either way, there are a few things you can’t skip:

• Fix bugs. You can’t catch all bugs in testing because some issues only show up in real life use. What matters is fixing them quickly after launch so they don’t impact user experience.
• Monitor for and install updates. Your MLS runs on diverse tools, libraries, and plugins. The developers of these tools release updates to improve performance and maintain a high level of security. Don’t neglect updates, as doing so may put sensitive user data at risk.
• Check the web app’s performance. Schedule a performance check for your MLS app to spot and fix slowdowns before they cause headaches for your users.
• Back up your platform. Schedule system backups to protect your data and the app’s functionality. This way, you can restore your MLS in case of any issues.

And if you’re thinking about improving your system, the post-release stage is the exact time to implement the enhancements. What can you do? We have a few examples that proved to bring value to MLS software users.

High-impact features for improving your platform

Your MLS might already be a game-changer for its users, but there’s always room to make the platform even better. Here are some upgrades worth considering:

• Advanced reporting and analytics

Agents and brokers rely on data to close deals, so giving them powerful reporting tools can bring much value. Add more report options, make them customizable, or even go a step further with data visualization tools that turn raw numbers into easy-to-read charts and graphs. This kind of insight makes your platform invaluable for professionals in the field.

• Mobile optimization

If your MLS isn’t mobile-friendly, you’re losing users. Consider building a real estate mobile app that will resemble the desktop functionality but make your MLS easy to use on the go.

• AI-powered tools

The use cases for AI in MLS are numerous; it’s one of the core trends in the current stage of digital transformation in real estate.

You can try an AI-powered recommendation system that suggests listings that best fit your search query, making it easy to find a perfect match for buyers. Or, make it possible to generate property descriptions with AI — generative AI implementation is a great step to speed up some workflows in your company.

You can start as small as adding smart tour scheduling and letting AI suggest the best tour dates based on your calendar. Everything is up to your needs and wishes.

WHITE PAPER

AI in property management

Explore AI assistants, smart search, and other AI use cases in property management, along with insights on their development and implementation success factors.

These are just a few examples of what can improve your platform and make it more appealing to users. The actual direction of your improvements will depend on your needs (and user needs).

Upgrading architecture, creating additional roles in the system, refactoring some parts of the application to optimize their performance, and integrating with additional sources — many things can make your MLS win over its competitors. The trick here is to monitor user feedback and prioritize updates wisely so you get the most value from each action.

Post-release stage time and cost

Costs at this stage can range widely. A project estimation technique we use here is assessing how many specialists we need to involve based on the size of the workload and how quickly you want it done.

For example, when the scope of work is small, or you’re not in a rush, a small team can work at a comfortable pace to get the work done, which helps keep expenses low. On the flip side, if you have ambitious improvement plans for your MLS software or have tight deadlines, we’d scale up the team to speed things along. This approach naturally increases the budget but ensures on-time delivery.

Here’s an example of how a monthly budget might look based on the team setup.

A team to build your MLS solution

You have two main options: hiring technical specialists in-house or outsourcing the whole process.

While working with an in-house development team gives you direct control, it demands more management and responsibility compared to outsourcing. If your company lacks technical leadership, seeking external expertise is a smart move — for example, you can opt for software development consulting for making essential technical decisions.

In our experience, the most effective approach is to outsource all three stages of real estate MLS software development to the same software development vendor. After performing all discovery and planning activities, your development team members will know exactly how to execute the plan, so they should be accurate and realistic with their estimates, technology stack selection, and so on, as this directly impacts their future work on the project.

TEMPLATE

Project brief template

Download our project brief template and take the first step towards effective software project planning

In conclusion

MLS software development isn’t just about building another database; it’s about creating a tool that connects real estate professionals with the right opportunities and optimizes their workflows, from searching for properties to exploring market insights.

It takes planning and the proper development decisions to make it all work, but when done right, an MLS platform has all the chances to keep ahead in the market.

If you’re looking for a partner to build an MLS platform, we’re ready to help. Contact us to discuss the details of developing your MLS app and get an approximate time and cost estimate for your project.