Submitted by marketrent t3_ycvihx in news
Comments
ClaymoreMine t1_itq0wr8 wrote
They’ve also been avoiding paying their fair share in taxes using 1099 and shell schemes. They’ve also been hiding their true assets for years by lobbying against beneficial ownership disclosure rules.
Early-Size370 t1_itq5wh8 wrote
Fr. First read about this scummy thing on Axios. Gonna read the articles from Ars Technica and Propublica soon.
InferiousX t1_itqsbj7 wrote
I wouldn't even use the phrase "landlords" as much as it's more like these big conglomerate companies that buy up swaths of housing.
But I'm with you. This is a big problem and a big reason some people are having to chose between getting groceries and getting gas that week. Everyone needs a place to live and these fuckers have found a way to leverage that need into more profits.
I'm not sure what the answer is here but these companies need some regulation.
menemenetekelufarsin t1_itrh17h wrote
Seems to me like you know what the answer is - regulation.
InferiousX t1_itrhs3k wrote
Yea but it's gotta be intelligent regulation and I don't know what that looks like in this instance.
menemenetekelufarsin t1_itrhzdz wrote
Well, when the US government stops using consultants from Bain and McKinsey to help them with research, you will find out. I wouldn't hold my breath though.
marketrent OP t1_itoonk9 wrote
Texas-based RealPage Inc. provides software and services to the real estate industry.
The complaint, filed in the Southern District of California against RealPage Inc. and nine landlords, claims they violated Section 1 of the Sherman Antitrust Act by eliminating natural imbalances and competitive pricing for multifamily residential real estate leases.
The complaint also quotes from a marketing video used to attract additional real estate clients, in which a RealPage Vice President discusses the recent and never-before seen price increases for residential real estate leases, as high as 14.5% in some markets. When another RealPage executive asks: “What role has the [RealPage] software played” in those increases, the RealPage Vice President responded: “I think it’s driving it, quite honestly.”
(Link submitted 25 October 2022 04:10 UTC.)
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DookieDemon t1_itoox0r wrote
Scummy bastards.
Software development in the real estate market needs to be heavily scrutinized because this is just the tip of the iceberg. Black Knight and Black Rock also do this shit.
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menemenetekelufarsin t1_itrh6ll wrote
Oh it does more than that. How about AI that pattern detect retail trading and makes bets against predictable behavior?
TryDrugs t1_itpq5jl wrote
Can't wait for a small fine (far less then the profits they made) and nothing else to happen!
Hobash t1_itos9fa wrote
They have similar software for the new and used car market.
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ArbutusPhD t1_itq5pnu wrote
And my axe
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HomeHeatingTips t1_its8goq wrote
the car market is largely offer driven though. So a company can market an asking price, but the buyer usually comes in with an offer that sometimes can be thousands less than asking. So the true selling price is never really disclosed publicly.
Hobash t1_itsa3vm wrote
I know, the software I'm talking about uses APIs to get the non-public data from private dealerships. Works the same for this real estate story, look up LRO, Yieldstar it's all APIs grabbing data from individual private databases, consolidating that with real page's algorithm then it spits suggested pricing back to the private database.
EatTheShroomz t1_itpdg50 wrote
You’ll hear a lot of words like “accused” and “allegedly” regarding this case. And I’m assuming they’re likely to only get a slap on the wrist for this. But regardless of what the courts decide, know that these fucks are very very guilty and you should look into and be very very aware of their practices. This has been a public service announcement. You have been notified.
mf-TOM-HANK t1_itpqk6t wrote
>This has been a public service announcement. You have been notified.
Rent is still due on the 1st whether I'm aware of these allegations or not. When does this "bad news" for RealPage translate into lower rent? Next year? 5 years? Never? Pandora has already opened the box.
gimmiesnacks t1_itpz3oa wrote
Right? I live in a huge greystar complex, sorrounded by other greystar complexes, and my rent is going up 10% in November. They absolutely refused to negotiate. There’s nowhere else to live here.
Aazadan t1_itqtx9v wrote
Get the word out, and get pissed off. Elect politicians to change the laws regarding what these companies are legally allowed to do.
That's a fix in 10 years, if enough agree with you.
PLEASE_PUNCH_MY_FACE t1_itqhchz wrote
Now do Zillow and redfin
[deleted] t1_itrxo7c wrote
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MiguelMenendez t1_ityafmj wrote
And ADP.
arjedu t1_itou8wq wrote
Wait till you guys learn who out there is Not using palantir. Lol.
Locotree t1_itoy67q wrote
2500 shares at an average of $8.11. If it hits $6, I’m backing up the truck again.
SockFullOfNickles t1_itq62g1 wrote
The guy who made this program was accused of colluding with other airlines in the 80s for price fixing. The Justice Dept got involved and there was a huge settlement. Seems like he’s back at his usual tricks. This are flagrant anti-trust violations. Where are all my belligerent “FrEe MaRkEt Is BeSt MaRkEt” people at?
ravenflavin77 t1_itqgpo5 wrote
What guy would that be?
I recall using this software at my old job. It's a product of a pretty large company. The training manual is an enormous binder. You can spend weeks training on this software.
EDIT: Nevermind, read the Propublica piece.
SockFullOfNickles t1_itqlegn wrote
I love Pro Publica. They provide an important service.
Ksh_667 t1_itppqd2 wrote
Landlords always have been & always will be scum.
ravenflavin77 t1_itpzvyr wrote
Private equity firms buying up rental properties has done more to drive up rents in the US than any other factor. I worked at a property that was privately owned. They sold out to a private equity firm which immediately raised all our rents $150. Every year after that residents could expect a rent increase of 10-30%. I no longer work there but I hate to see what they've done rent wise since the pandemic.
InferiousX t1_itqrxbo wrote
My last house I rented was in Nevada and owned by some LLC registered in Delaware.
Shit was going up like 200-250 a year. Nonsense.
InsuranceToTheRescue t1_itqxr6c wrote
Well, registering in Delaware is a little different of a tactic. A lot of companies do it to avoid taxes.
InferiousX t1_itr1maj wrote
I get it but the point is that it's not like "oh i can call the landlord for XYZ".
I have to go through a dysfunctional property management company that returns 1/3rd of their phone calls and emails and they in turn go to another corp. It's a bunch of layers between the renter and owner that wasn't nearly as common 10-15 years ago.
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arjedu t1_itp2osf wrote
Maybe the renters should start using AI software to find the best deal.
Oh wait they already can.
420ipblood t1_itp6bvu wrote
Which software?
I bet you believe it's a bunch of homebuyers that built the AI lol. Because buyers have money for software development too.
arjedu t1_itwl8gm wrote
It's called Zillow brainiac.
bshepp t1_itqd2uo wrote
You have a fundamental misunderstanding of both AI and what a monopoly is.
arjedu t1_itw8t7c wrote
Lol. my company uses onesite. I work in real estate. This case has zero standing. Properties are subscribing for a service that analyses market rents in real time. They are competitors not colluders. Idiot renters throwing s*** on the wall hoping it sticks. Watch this case get tossed quickly. I've been following palantirs ascent since they went public. Thinking that this is anything close to it on a monopoly shows their lack of understanding on any of these issues other than crying about rents being high. This is reddit so the idiot masses with similar mentalities such as yours will howl, downvote, and be the victim of whatever is in vouge.
[deleted] t1_itwq39f wrote
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joedev007 t1_itouzxl wrote
yawn...
"i could afford my bills if only this software didn't exist"
LOL
tetoffens t1_itozg6w wrote
Sorry, are you saying price fixing isn't a real thing? Why do you suck off rich people who fuck people over? It's not like having a place to live is a luxury, people don't have a choice but to pay.
joedev007 t1_itp0c77 wrote
Landlords doing business in a way that insures they turn a profit and have the funds to PROPERLY maintain their properties and pay their taxes helps all of us.
where you choose to live is indeed a luxury or we would all live on the pacific ocean in Malibu or in Aspen LOL
MF_Kitten t1_itp8oxd wrote
You clearly have no idea how much of a cutthroat industry professional "landlording" is in America. It truly is sickening, and your comment makes it seem like we are talking about someone renting out their basement apartment or something.
ILoveShitRats t1_itp6q4j wrote
There's so much wrong with your attitude, I don't even know where to begin.
joedev007 t1_itp9vay wrote
"if my landlord loses enough money renting to me...
AND the prices are held artificially low by ignorance of market conditions, demand and value...
for LONG ENOUGH...
One day I will be treated fairly..."
it's a hard argument to make. you should want your landlord to charge you the proper amount for the market you are renting in - so every single thing THAT WILL COME UP is taken care of without hesitation. From new sidewalks without cracks our seniors can trip over, to new hot water heaters, air filters and central air...
the cheap/broke renter is the "I want to fly a discount airline that skips maintenance" argument.
ImACicada111 t1_itpill3 wrote
Now you’re just spewing word salad.
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CPTKickass t1_iu1vvvl wrote
>…so every single thing THAT WILL COME UP is taken care of without hesitation.
Do you believe this is happening?
usrevenge t1_itp9zo6 wrote
Lol what a moron.
Land lord expenses don't significantly raise. In fact they drop.
If you bought your property to rent out in 2015 and rented it out until 2020 you probably paid off most of the mortgage anyway. Meanwhile these shitfucks would raise rent on top of paying less in expenses
joedev007 t1_itpasjh wrote
lol yes because property taxes going only going down
because water bills are going down
because maintenance costs are going down
back to your mom's basement glad to know you own nothing - or own it in an area no one wants to live in that does not have municipal workers making $200K a year PLUS benefits :)
usrevenge t1_itpgmyj wrote
You are special.
Even if property tax assessments doubled and water bills doubled and every other utility doubled in price that would still be like 10% increase in rent not 100%.
Let's do the math.
You buy your rental home in 2015 for $150,000 the rent would easily be $900-1000 or probably more.
If you put 20% down which since it's a rental you kinda have to do that at a minimum your monthly payment for the house and taxes etc is $800. That's 1% property tax which is pretty standard
Now according to you. If we double the property tax. The math makes it out that rent should double.
Let's do that
If we double property tax it's $3000 a year. That means the total amount goes up about $150 per month.
Here is the kicker. Rent didn't go up $150. Rent didn't go up $200.
Rent has been going up 50% or more since that time The $1000 house you rented in 2015 is probably $1800 a month today.
So yea you deserve the down votes and everyone making fun of you.
joedev007 t1_itpi9cy wrote
you're assuming that a good part of the increases are not...
- to invest more money in developing the property/properties held by this landlord.
- to fund capital improvements (in ground pool, led lighting, solar panels, tesla power walls, new playground)
- to filter who lives there by way of turnover
- to fund the landlord's lifestyle. it costs time and effort to manage a property, offset the non-payment tenants losses, legal, advertising of properties, etc.
imagine IF you applied your logic to concert tickets, weed, sneakers, alcohol...
Holy cow it's America and landlords want to live the same lifestyle the people you pay to see at lollapalooza or sportsball do
LOL
asdaaaaaaaa t1_itpgqbp wrote
> Landlords doing business in a way that insures they turn a profit and have the funds to PROPERLY maintain their properties and pay their taxes helps all of us.
Except when it doesn't, and they take advantage of people. Unless you're living in the fantasy that some landlords don't take advantage of others, or taking advantage of others isn't a bad thing, I don't think you've thought that out as much as you need to.
malphonso t1_itpqdqd wrote
Landlords are parasites who contribute nothing. They create an artificial scarcity of a resource required for life then expect others to pay for their "investment". And you think people should be grateful for that?
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Mr_Tulip t1_itpuf6d wrote
yawn...
"i couldn't afford my bills if i didn't engage in illegal price fixing"
LOL
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Userscreename t1_itpbegq wrote
WE GET IT. You're a landlord and a parasite. What you have to say is garbage. Yawn... Lol
bshepp t1_itqdh7d wrote
It's not that the software exists it's that a monopoly exists and was using the software as an excuse. It's not software it shitty landlords.
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BlackPrincessPeach_ t1_itot0ag wrote
Finally glad this is getting some media coverage.
#Landlords across the country have been engaging in Illegal Price Fixing, under the BS of “market rate algo software”