NDP requests that the competition watchdog look into any corporate landlord rent-fixing

The NDP has called on Canada's Competition Bureau to investigate whether corporate landlords are using the same AI-driven pricing software that has sparked a major antitrust lawsuit in the United States.

This comes after the U.S. Justice Department, along with attorneys general from several states, filed a lawsuit against RealPage Inc., a software company accused of orchestrating an illegal scheme that allows landlords to co-ordinate rental price hikes using its algorithm, YieldStar.

NDP MPs Alexandre Boulerice and Brian Masse sent a letter to Competition Bureau commissioner Matthew Boswell, urging an inquiry into whether Canadian landlords are employing YieldStar or similar algorithmic pricing tools, which they argue may be contributing to rising rents in Canada.

The MPs expressed concern over how such technologies might impact housing affordability in the country and how widespread their use could be across the rental market.

In response, the Competition Bureau acknowledged receipt of the letter but did not confirm whether it will open an investigation.

Emmanuel Morin, a spokesman for the bureau, emphasized that it conducts thorough examinations before determining whether any actions violate the Competition Act.

This inquiry request follows a significant rise in rental costs across Canada, with the latest data showing that average rents increased by 3.3% in August from the previous year.

Although this was the slowest annual growth in nearly three years, housing affordability remains a critical issue for many Canadians. If the use of AI-driven rent pricing tools is found to contribute to these increases, it could lead to further regulatory action.