Investigation finds software algorithm could be artificially inflating Seattle rent prices
A software company and nine property management groups are being accused of artificially inflating rents. An investigation found the software that sparked the lawsuit is used by management companies in Seattle.
The lawsuit was filed in U.S. District County in San Diego by renters. It alleges the property management companies and Texas-based software company RealPage formed a cartel to artificially inflate rent prices and decrease the supply of multifamily real estate in violation of federal law.
RealPage owns software that uses an algorithm and analyzes data to suggest rent prices. The software is used by some of the nation’s largest property management companies, including Greystar and Essex Property Trust, Inc.
While the software is used nationwide, an investigation by the non-profit newsroom ProPublica found this software is “overwhelmingly” controlled by RealPage clients in Seattle’s Belltown neighborhood.
https://www.msn.com/en-us/money/realestate/investigation-finds-software-company-s-algorithm-could-be-artificially-inflating-rent-prices-in-seattle/ar-AA13lkkZ