4 ms·
>rent price fixing RealPage leads to faster rent drops when the economy is slow. It makes price discovery easier for landlords. https://papers.ssrn.com/sol3/pa
by Duwensatzaj 2y ago
>rent price fixing
RealPage leads to faster rent drops when the economy is slow.
It makes price discovery easier for landlords.
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4403058 https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4403058
Key quote: “ We find strong evidence that algorithmic pricing helps building managers set prices that are more responsive to market conditions, with adopters lowering rents more rapidly than non-adopters during economic downturns.”
The claim that RealPage leads to price fixing reminds me of the claim that inflation is happening due to corporate greed.
- dqv 2y ago... the concerns about price fixing aren't about the velocity at which the prices change, they are about the magnitude of the prices. From the paper you linked: > We also find that average rents are higher and average occupancies are lower in markets with greater algorithmic penetration during periods of economic recovery. > We estimate that the coordination channel results in an average markup increase of $25 per unit per month, impacting about 4.2 million units nationwide.