Portland city councilors will again consider a policy prohibiting landlords from using certain software to set rental prices.

The proposal, first floated by Councilor Angelita Morillo in April, would ban the use of “algorithmic pricing” services, which scan regional rent prices and vacancy data submitted by landlords and recommend monthly rental rates. Landlords have increasingly relied on these types of data services, offered through subscription-based companies, like RealPage.

Landlords who violate the policy can face up to $1,000 in city fines per violation. Tenants can also sue landlords who use this kind of software for up to $1,000 per each violation.

Supporters of the software say it’s a tool that helps property managers set profitable rates in a competitive market, while opponents consider it an illegal form of price fixing that keeps rents skyrocketing.

“This ordinance will help even the playing field between landlords and tenants and restore market competition to the rental market, contributing to lower rents and greater housing stability for Portlanders,” said Michael Abrams, an attorney with the ACLU of Oregon, testifying before Portland City Council last week.

At that same meeting, real estate representatives defended the use of this type of software, and rejected the characterizations of it being used for more sinister purposes.

“Let me be clear, Portland landlords are not price fixing,” said Cassidy Bolger, director of development at Portland real estate company Killian Pacific. “Developers and property owners have long used both public and private data through software and market analysis to understand demand and competitive rents. This proposal is a solution in search of a problem.”

The proposal was paused after it was first introduced in the spring, after the city of Berkeley was sued over adopting a similar policy. That case has yet to be resolved.

But, in the months since, Morillo’s office tweaked some language in the original policy in hopes of safeguarding it against similar litigation.

The updated draft also reflects concerns raised by some local landlords earlier in the year, by defining what won’t be penalized under this policy. For example, the rule won’t apply to landlords who work for the same company and are coordinating rents across properties. It also won’t impact affordable housing providers.

And at a council meeting last Wednesday, councilors amended the policy to ensure it doesn’t impact landlords who own fewer than six apartments.

Despite these changes, some landlords argue that Morillo’s policy isn’t the correct way to address the housing crisis.

“Portland’s real problem isn’t secret landlord cartels,” said realtor and landlord Tyler King, speaking to councilors last week. “It’s that we don’t have enough homes. If we want to stabilize rents, we need more housing of all kinds.”

Portland renters, who represent nearly half of the city’s population, have expressed strong support of the policy as a way to keep rents from creeping upwards.

If approved, Portland would join many cities and states in prohibiting algorithmic rent pricing software. In August, Seattle passed a similar ban, which was expanded to apply to all of King County a month later. And state Legislatures in both New York and California have recently passed laws banning algorithmic rent setting. Oregon U.S. Senator Ron Wyden has also introduced legislation to ban price-fixing software in Congress.

Last year, Oregon joined seven states in filing a federal antitrust lawsuit against leading algorithmic software company RealPage and seven landlords, accusing them of scheming to decrease competition. Five of the landlords named in that lawsuit own or manage properties in Portland.

RealPage is the company that sued Berkeley in the spring, arguing that the city’s software ban limited the company’s free speech. In April, a lobbyist for RealPage told Portland city councillors that the city’s policy could result in “lengthy and expensive court cases for the city.”

The proposal has the support of the city’s six-person progressive caucus and several other local elected officials. Earlier this week, Multnomah County Chair Jessica Vega Pederson shared a statement of support. Others on council have been explicit in their opposition.

“I believe we are sending the wrong message at a time when we need more housing,” Councilor Olivia Clark said last week. “I also don’t want to risk incentivizing lawsuits against the city.”

In a social media post, Councilor Dan Ryan wrote that the policy is the “last thing” Portland’s housing market needs.

Councilors will decide whether to adopt the policy at Wednesday night’s council meeting.

News Source : https://www.opb.org/article/2025/11/19/portland-city-council-proposal-ban-rent-setting-software/