AI-Powered Rent-Setting Faces Legal and Legislative Pushback

Federal prosecutors and lawmakers accuse RealPage's pricing software of inflating rents, prompting bans and lawsuits across U.S. cities.

RealPage, a Texas-based software company, is accused of using algorithms to facilitate rent increases by sharing sensitive pricing data among landlords.
San Diego is drafting legislation to ban algorithmic rent-setting tools, following similar measures in San Francisco and Philadelphia.
Federal prosecutors and eight state attorneys general have filed an antitrust lawsuit, alleging RealPage's practices stifle competition and harm renters with inflated prices.
Critics argue the software exacerbates housing shortages and affordability issues, while RealPage defends its technology as compliant and beneficial.
Renters, particularly low-income households, face growing financial strain, with average rents in cities like San Diego significantly outpacing national averages.