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As someone who worked in real estate for 8 years with 4 years in single-family property management, it is absolutely RealPage and all of the various automated t
by notaustinpowers 3y ago
As someone who worked in real estate for 8 years with 4 years in single-family property management, it is absolutely RealPage and all of the various automated tools that are beginning to populate the real estate sector.
When pricing rental properties, you look at comparables within an (often small) geographic area, making price adjustments for changes such as access to public transportation, proximity to business districts, "newness" of the comparables, amenities in the community, etc.
RealPage's pricing program does not have the ability to take those into consideration. Instead, an outdated 2bd/1ba, 20yo community that's 10 minutes to a business district is being priced comparatively to a just opened 2bd/1ba <1yo community smack dab in the middle of that business district. All because that new community also uses RealPage.
RealPage has also made it incredibly difficult to override their pricing suggestions. In many cases requiring the manager of the company themselves to contact RealPage, file an appeal, and wait for RealPage to approve the appeal.
RealPage is generating these pricing numbers by looking at their own customers, not at the larger market, and has taken that pricing power away from medium to large property management companies (which in recent decades have begun to consolidate the market).
This is what happens when technology companies enter an industry that has been largely stagnant for years with little to no regulation in how those 3rd party tech companies have to operate in a sector that, itself, is highly regulated.
There's a reason I left that industry, from my experience it's rotten to the core and is built to only benefit shareholders with little disregard for consumers and renters. You think Facebook's enshittification is bad and dangerous to consumers?