DOJ Restricts AI Access to Live Data to Prevent Algorithm-Driven Rent Increases
- DOJ settled with RealPage to block real-time data use in rent algorithms, ending claims of algorithmic collusion enabling price hikes. - The agreement prohibits using current lease data for pricing models and restricts access to competitors' nonpublic data. - Over 20 property firms, including Greystar, reached settlements, while states and cities enacted laws to curb algorithmic rent-setting. - Critics argue historical data limits may reduce pricing accuracy, but regulators aim to prevent AI-driven marke
A significant antitrust agreement has limited RealPage Inc.—a Texas-based software provider—from using real-time data in its rent-pricing algorithms, following accusations that the company enabled landlords to coordinate rental rates. The Department of Justice (DOJ) revealed the settlement on November 24, 2025,
The DOJ argued that RealPage’s software replaced healthy market competition with coordinated pricing, asserting that the platform’s access to sensitive data allowed landlords to set rents above market value. “Rental prices should be determined by open market forces, not hidden algorithms,” stated Gail Slater, the DOJ’s antitrust leader, who
This settlement comes after a series of lawsuits against RealPage and its partners. In recent months, over twenty property management firms—including Greystar, the country’s largest landlord—
State and municipal authorities have also taken steps to limit algorithm-driven rent setting. In October 2025, California and New York passed laws to curb the practice, while cities such as Philadelphia and Seattle enacted bans on such software.
The DOJ’s lawsuit is among the first major antitrust cases to focus on algorithmic collusion, highlighting a growing regulatory interest in AI’s impact on markets. RealPage’s platform, used by landlords across the U.S., offered daily rent suggestions based on occupancy and market data.
Although the settlement avoids a lengthy trial, it leaves open questions about how AI will shape the future of housing markets.
While RealPage is privately held, the regulatory scrutiny it faces has had a ripple effect throughout the real estate tech industry. Publicly traded companies such as
These settlements and new regulations are transforming the property management sector. Although RealPage asserts it can adapt its models to rely on older data,
With mounting legal and regulatory scrutiny, the rental market faces a pivotal moment. It remains uncertain whether this agreement will lead to more open and fair pricing or simply push algorithmic coordination into less visible forms.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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