The NDP is calling on the Competition Bureau to investigate whether Canadian corporate landlords are using the same AI software that has sparked antitrust lawsuits in the United States.
Last month, the U.S. Department of Justice filed a lawsuit against real estate software company RealPage, alleging that the company created an illegal scheme to help landlords adjust rent increases.
The lawsuit, filed alongside attorneys general from several states, including North Carolina and California, alleges that the company violates antitrust laws through the algorithms used by landlords to derive recommended rental prices for millions of apartments across the country.
NDP MPs Alexandre Bouleris and Brian Masse wrote to Commissioner Matthew Boswell asking him to open an investigation into whether Canadian landlords were using the same software, YieldStar.
“Canadians have a right to an explanation of how the use of algorithmic pricing tools is affecting rent increases and the extent to which this practice permeates Canada’s rental market overall,” the Sept. 10 letter said.
Rent prices in Canada have skyrocketed in recent years, raising concerns about home buying in the country.
According to the latest report from Rentals.ca and Urbanation, the average asking rent in August rose 3.3 per cent from last year to $2,187 – the lowest annual increase in nearly three years.
