SPOKANE, Wash. — The Spokane City Council will vote next week on banning digital algorithms that landlords use to set rent prices, citing concerns the software enables collusion and inflates housing costs for 80,000 city renters, according to city staff.
City staff say the programs allow landlords to share rent data anonymously, with algorithms determining maximum rental charges.
Dave Bilsland, a renter on fixed income, believes these algorithms contributed to his rent more than doubling since 2019 from $785-$825 to $1,100.
“If they went by the current amount, I’d be paying $785 to $825 instead of $1,100,” Bilsland said.
With a $1,200 monthly budget, Bilsland relies on a housing choice voucher to afford rent. He said he knows people who became homeless due to unaffordable rent increases.
“First and last month’s [rent] plus deposit. How many people have $3,000 in their savings?” Bilsland said.
Bilsland works with the Tenants Union of Washington State, which supports the proposed ban.
Terri Anderson, executive director of the Tenants Union of Washington State, said programs like RealPage maximize landlord profits but create vacancies.
“What that does often times, it raises the rent so high that tenants can’t pay that rent increase. That causes evictions and displacement and we’re already seeing a lot of homelessness in Spokane,” Anderson said.
Anderson expressed hope the council will pass the ordinance, saying the algorithms create an unfair environment for renters.
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