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Committee hears bill to bar third-party rent-recommendation algorithms that coordinate landlords
Summary
Senate Bill 5469 would prohibit service providers from using automated processes to provide rental-price recommendations based on pooled landlord data and would bar landlords from contracting with them; proponents said software such as RealPage enables price fixing, while limited remote sign-ins meant fewer opposing speakers were present.
Senate Bill 5469, proposed to limit the use of algorithmic pricing tools in residential rental markets, was the subject of a public hearing Jan. 31 before the Senate Housing Committee.
Committee staff Bill Fosbury explained that SB 5469 would prohibit service providers from coordinating two or more landlords to share rent, occupancy, supply, or renewal data and then analyze that data through an automated process to provide price recommendations across landlords. The bill would also prohibit a landlord from contracting for those services and authorize the state attorney general to enforce violations under the Washington Consumer Protection Act. “In summary, the bill does three things,” Fosbury said during the staff briefing.
Senator Solomon (sponsor) told the committee he introduced the bill to help keep rental housing competitive and fair, citing a Department of Justice lawsuit alleging landlords nationally shared sensitive price and renewal data via software. “This information shared allegedly included renewal rates, how often they accept an algorithm's price recommendation, the use of concessions, such as offering one month of free rent, and even their approach to pricing for the next quarter,” Solomon said.
Michelle Thomas of the Washington Low Income Housing Alliance testified in favor of the bill, telling the committee that tools like RealPage have enabled “price gouging” of renter households. “Renter households across the state are forced to choose between paying their rent increases and paying for their medication, their childcare, or heat,” Thomas said. She argued that the software also encourages landlords to keep units vacant, undermining state efforts to increase supply.
Joe Kunstler offered separate pro testimony, saying the bill would protect renters from “radical algorithms doing crazy things.” Several signed-in opponents were not present for in-person or remote testimony; the committee reported those absences when it closed the hearing.
A fiscal note noted estimated costs to the attorney general’s office, which expects increased operating costs of $746,000 for the 2025–27 biennium and $364,000 for 2027–29. The committee closed the hearing on SB 5469 with no immediate vote.
Speakers quoted or referenced in this article: Bill Fosbury (Senate committee staff); Senator Solomon (sponsor); Michelle Thomas (Washington Low Income Housing Alliance); Joe Kunstler (commenter).
