Bellingham Could Ban the Rent-Pricing Algorithms Blamed for Inflating Rents

A ballot measure that would bar Bellingham, Washington landlords from using software to set rents moved a step closer to the November ballot this week, adding the Washington college town to a growing list of cities taking aim at algorithmic rent-pricing.

The Whatcom County Auditor's Office began verifying petition signatures on June 30 for Initiative 26-01, which would prohibit landlords from using paid software that recommends rent prices, the Bellingham Herald reported. Supporters submitted about 5,692 signatures and need 3,167 valid ones, equal to 10% of the votes cast in the last mayoral race, to reach the November 3 ballot.

The measure was organized by Community First Whatcom, a group that has pushed local ballot initiatives on renter and worker protections and began collecting signatures in April.

What the measure would do

If passed, Initiative 26-01 would:

• Ban paid algorithmic services that use market data to recommend rents, lease terms, or occupancy levels to multiple landlords.

• Bar two or more landlords from agreeing to set rental prices.

• Create a private right of action so tenants can sue.

• Add whistleblower and anti-retaliation protections for tenants and employees.

• Authorize civil and criminal penalties.

A national fight over rent software

The target is software like RealPage, which recommends prices to landlords using shared market data such as current rents, occupancy, and available units. Critics argue that when many landlords in one market follow the same algorithm, it works like coordinated price-setting. A 2024 White House Council of Economic Advisers report found the practice added roughly $70 a month to affected units and cost American renters an estimated $3.8 billion in 2023.

RealPage has been sued by the U.S. Department of Justice and by Washington's attorney general over its pricing practices. If Bellingham voters approve the measure, the city would join Seattle, Portland, Minneapolis, San Francisco, Philadelphia, and Berkeley, all of which have moved to ban the software.

Why Bellingham renters are pushing

The local numbers help explain the urgency. The median rent in Bellingham is about $2,053, up roughly 9.1% over the past year and about 29% over five years, according to RentDataNow. Against a median household income near $66,755, a typical renter spends close to 37% of gross income on rent, past the 30% mark that defines a cost-burdened household.

The cities that have already acted are pricier still. Seattle sits near $2,196 and Berkeley near $3,014, while San Francisco tops $4,253. More affordable adopters like Portland at about $1,725 and Minneapolis near $1,686 show the bans are spreading across price tiers, not just the most expensive markets.

What happens next

Signature verification runs on weekdays until it is complete, excluding the July 3 holiday, and is open to public observers. If the county certifies enough valid signatures, Initiative 26-01 goes before Bellingham voters on November 3. Renters can see how Bellingham rent stacks up against other markets with the RentDataNow compare tool.

Sources

Reporting and initiative details: The Bellingham Herald, Bellingham initiative to ban algorithmic price-fixing moves closer to ballot (Rachel Showalter, June 2026), which cites a 2024 White House Council of Economic Advisers report. Rent figures: RentDataNow, June 2026, anchored to the Zillow Observed Rent Index.