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I think you're ignoring something important: competition. Your statement would only be true if all rental properties were owned by a single entity or small num
by thunky 4y ago
I think you're ignoring something important: competition.
Your statement would only be true if all rental properties were owned by a single entity or small number of colluding entities.
But in reality there is no such thing, and competition for tenants puts a downward pressure on market rents.
- masterjack 4y agoTrue, but that’s the interesting thing about these kinds of algorithms, they align the pricing approaches so the entities act more like one than they did before, effectively decreasing competition.
- thunky 4y agoI would say that pricing approaches are already aligned, and this software is just another approach that may or may not replace existing approaches in some areas. I don't see how this decreases competition, tough. A competitor can still undercut their competition to attract tenants.