- cross-posted to:
- brainworms@lemm.ee
- cross-posted to:
- brainworms@lemm.ee
Summary
The U.S. Justice Department, joined by 10 states, has sued six major landlords and RealPage, a company behind a rent-setting algorithm, accusing them of colluding to keep rents high by sharing sensitive pricing data and avoiding competition.
The landlords, operating over 1.3 million units, allegedly used RealPage’s algorithm and coordination to align rents, exacerbating the housing crisis.
One landlord has agreed to cooperate with prosecutors.
Critics argue this scheme worsens affordability issues for renters, who already face record rent burdens amid a strained housing market.
Years ago, when I lived in Boston, a realtor company mistakenly sent me a letter meant for my landlord. It said something like, “rentals are lucrative and prices keep rising! You should maximize your yearly lease price increases to make more money.”
The brokers get a full months rent fee in Boston just for showing the apartment, so this was really infuriating.