Montgomery County becomes the first county in Maryland to ban algorithmic rent-setting software amid growing concerns over housing costs and competition.
Montgomery County has become the first county in Maryland to prohibit landlords from using certain algorithms to coordinate rental prices and lease terms. The County Council unanimously approved Bill 8-26, which targets software that uses nonpublic information from competing landlords to recommend rents, fees, and occupancy levels. Supporters argue the measure will promote competition and help address rising housing costs by preventing landlords from using shared data to influence rental prices.
The legislation comes amid growing state and national scrutiny of algorithmic pricing practices in the rental housing market. Maryland Attorney General Anthony Brown has pursued litigation against property management software company RealPage and several landlords over allegations of unlawful rent coordination. Supporters argue that limiting algorithmic price coordination could promote competition and improve housing affordability. The county’s action adds to a broader discussion over the role of local regulation, emerging technologies, and consumer protections in addressing housing costs.
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