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Hochul signs bill banning NY landlords from using algorithm software to set rents
By
Giulia Heyward
Published Oct 16, 2025
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Don Pollard/Office of Governor Kathy Hochul
By
Giulia Heyward
Published Oct 16, 2025
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Building owners and property managers will no longer be able to use algorithm-based software to artificially inflate New Yorkers’ rents as a result of a bill signed into law by Gov. Kathy Hochul on Thursday.
The new legislation updates the state’s antitrust laws to include the algorithmic software and comes after the U.S Department of Justice filed a lawsuit against RealPage, a company that uses algorithms to analyze public and private rental data — including vacancies and lease renewal rates — in order to give landlords and property managers price recommendations.
The Council of Economic Advisors estimated that price-fixing algorithms cost renters nationwide $3.8 billion more in inflated rents in 2023.
The new legislation is “a win for every New Yorker who is struggling to make ends meet,” according to Assemblymember Linda B. Rosenthal, a Manhattan Democrat who sponsored the bill in her chamber.
“As we continue to enact laws that foster development and protect tenants from the hell being unleashed at the federal level, we must use every tool at our disposal to preserve our existing housing stock," Rosenthal said in a statement on Thursday.
New York is not the only state to ban the use of algorithmic rental price-fixing software. California Gov. Gavin Newsom signed a similar bill into law earlier this month.
And in May, Jersey City became the first municipality in the Garden State to ban landlords from using AI to set rental rates. Similar bans have also been enacted in cities like Philadelphia and Minneapolis.
RealPage did not immediately respond to a request for comment.
Tagged
housing
new york state
Giulia Heyward
Giulia Heyward is a breaking news reporter on the Day-Of desk. She previously worked at NPR, as a breaking news reporter, and the New York Times, as a reporting fellow on the national desk. Her work has also appeared in CNN, The Atlantic and Politico. Got a tip? Email [email protected] or more securely on signal at 917-715-1458.
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Gothamist is funded by sponsors and member donations
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