"According to the FTC, if the software providers hinder the flow of accurate pricing information in rental listings, those providers may be depriving consumers of the ability to make informed purchasing decisions, negatively affecting market efficiency. According to the letters, information obtained by the FTC suggests that the software companies are failing to include all mandatory fees in monthly rental prices, hampering the ability of rental property mangers from advertising accurate total monthly costs."
"The FTC says this may harm consumers by preventing prospective renters from seeing complete pricing information on the mangers' websites and other online listing platforms. The FTC is committed to rooting out anticompetitive, unfair and deceptive acts or practices in the rental housing market, Christopher Mufarrige, the director of the FTC's Bureau of Consumer Protection, said in a statement. Companies need to compete on price and consumers need accurate and non-deceptive information to make the best-informed decisions possible."
"If companies engage in this conduct, the letter says they may be subject to legal action, as well as federal district court injunctions and civil penalties of up to $53,088 per violation. Last week, the FTC announced its settlement with Greystar, in which the rental property management firm agreed to pay $23 million to the FTC and $1 million to the state of Colorado for allegedly deceiving consumers about rental prices."
The FTC finds rental-pricing software providers are hindering the flow of accurate rental pricing by failing to include mandatory fees in monthly prices. That omission prevents property managers from advertising accurate total monthly costs and can keep prospective renters from seeing complete pricing information on managers' websites and other online listing platforms. Such practices can deprive consumers of the ability to make informed purchasing decisions and reduce market efficiency. The FTC warns companies may face legal action, injunctions, and civil penalties up to $53,088 per violation. Recent enforcement includes a $23 million settlement with Greystar (plus $1 million to Colorado). The DOJ alleged RealPage relied on nonpublic landlord data and software features to limit price decreases and enable price alignment among competitors.
Read at www.housingwire.com
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