Rent-Fixing Claims Drive Massive Settlements In RealPage Case

Landlords Settle, RealPage Fights On

Dozens of multifamily landlords have reached a preliminary settlement in a class-action lawsuit, reports Bisnow. The case alleges a rent-collusion scheme facilitated by RealPage’s AI-driven Revenue Management software. The 27 landlords will collectively pay $141M to resolve claims they conspired to keep rents artificially high—without admitting any legal wrongdoing.

The legal battle stems from allegations against RealPage’s software, formerly known as Yieldstar. Plaintiffs claim the tool enabled competing landlords to align their pricing strategies by pooling sensitive lease data. This practice allegedly created a rent-setting cartel.

Who’s Paying What?

Among the most prominent names in the settlement:

• Greystar will pay $50M—its second such settlement related to the case.
  
• BH Management will pay $15M.
  
• Brookfield owes $5.3M.
  
• Pinnacle Property Management will pay $3.5M.
  
• AOG Living, a Houston-based operator, will pay $550K, the lowest of the group.
  

As part of the deal, the landlords agree not to share any nonpublic leasing data that could be integrated into revenue management tools—an agreement that will last five years.

RealPage’s Defense: No Merit, No Changes Needed

While RealPage isn’t part of the current settlement, the company has remained vocal in defending its software and denying the allegations. A spokesperson reiterated that RealPage believes the litigation is “without merit” and emphasized that its revenue management tools have been adjusted to address regulatory concerns.

Notably, the company claims that since 2024, its algorithm no longer uses proprietary customer data from one client to influence pricing for others. It does not expect the settlement to require additional changes to its software.

Legal Pressure Mounts

A 2022 ProPublica investigation sparked the current class-action lawsuit, which has since expanded significantly. Prosecutors have collected over 24 terabytes of data and nearly 15 million documents from the defendants.

A separate federal antitrust case, filed in 2024, remains ongoing and could bring more scrutiny to the software and its users. Greystar has already settled with federal prosecutors and agreed to cooperate in that investigation.

Policy Fallout

Beyond the courtroom, RealPage’s software has faced backlash at the state and local level. At least nine cities have enacted rules restricting the use of rent-setting algorithms, and over a dozen states have explored legislation—though none have passed laws yet.

RealPage attorney Stephen Weissman argues that the software is being unfairly blamed. He says the real issue is a broader housing shortage. “We’re open to innovation, but not scapegoating,” he stated.

Why It Matters

The case highlights growing legal and political pressure around algorithmic pricing in housing. With branded data-sharing practices under scrutiny and landlords facing multimillion-dollar payouts, multifamily operators may reconsider their use of tech-driven rent strategies.

As more settlements come into play—and key defendants head to court—this could become a landmark case in how data and algorithms intersect with antitrust law in real estate.

What’s Next

The class-action suit and federal antitrust case are both ongoing. RealPage, along with roughly 20 landlords, will remain in court. Investigators are continuing their probe, and broader industry implications are still unfolding.