A Montgomery County Council committee unanimously recommended passage Monday of legislation that would prohibit the use of certain algorithms to set rents or rental terms in the county.
Bill 8-26, introduced by Councilmember Will Jawando and cosponsored by Councilmembers Shebra Evans and Kristin Mink, would prohibit the use of algorithmic devices to establish rents or rental terms and prohibit price coordination involving rental housing.
The Planning, Housing and Parks Committee amended the legislation to align it with a similar law recently adopted by the City of Rockville before unanimously recommending its passage. The full County Council is expected to vote on the legislation later this fall.
The proposal comes amid state and federal scrutiny of rent-setting software. In 2025, Maryland Attorney General Anthony Brown sued RealPage and several residential landlords over allegations that the company’s software was used to unlawfully raise rents.
According to the County’s Office of Legislative Oversight, research on the economic effects of rental pricing algorithms remains limited and mixed. The office also identified potential challenges with enforcing the proposed ban.
Jawando said the legislation is intended to address housing affordability by preventing what he described as algorithmic collusion that can result in higher rents for residents.
If approved by the full Council, the legislation would establish County-level restrictions on algorithmic rent-setting and price coordination in the rental housing market.
