The Hidden Role of AI in Skyrocketing Texas Rent Prices and How the “AI Fair Housing Act” Can Protect Our Communities

The Hidden Role of AI in Skyrocketing Texas Rent Prices and How the “AI Fair Housing Act” Can Protect Our Communities

Across Texas, families are facing an alarming and growing crisis: rising rent prices. In cities and towns throughout the state, housing costs are becoming increasingly unaffordable, forcing many to leave their homes and destabilizing entire communities. While several factors are contributing to this surge, one of the more hidden culprits is artificial intelligence (AI).

Many corporate landlords and property management companies have begun using AI algorithms to determine rent increases. These algorithms, designed to maximize profits, often operate with little to no consideration for the affordability needs of the people living in the homes they target. The result? Rents are being raised arbitrarily, driven by data rather than compassion, leaving countless hardworking Texans struggling to keep a roof over their heads. It’s time we take action to protect Texans from being priced out of their communities.

The AI Factor: Profit Over People in Texas Rent Markets Artificial intelligence is increasingly being used by landlords and large property management companies to streamline decision-making processes, including determining how much to charge for rent. While AI has the potential to make processes more efficient, its use in the rental market has raised serious concerns. Most AI algorithms used to adjust rent focus on maximizing profits by analyzing various factors like market trends, neighborhood desirability, and demand. However, they often fail to consider the most important factor: people’s ability to afford the rent increases. Unlike a human landlord, who might weigh economic conditions or the impact on long-term tenants, AI algorithms follow cold, profit-driven logic that leaves tenants vulnerable to sharp, arbitrary increases.

Here are a few reasons why AI is exacerbating the housing crisis in Texas: 1. Lack of Accountability: When an algorithm makes a decision, it’s difficult for tenants to challenge or even understand the reasoning behind their rent increase. Who is held accountable when an algorithm forces a family out of their home? 2. Profit-Driven Decisions: AI tools are designed to maximize returns for property owners, not to ensure housing affordability. This means algorithms are often set to raise rents as high as possible, regardless of the human consequences. 3. Lack of Oversight: Many tenants aren’t even aware that AI is being used to determine their rent. There’s no transparency, and often, no one to hold accountable for sudden increases in housing costs.

I am calling on the Texas Legislature to pass the “AI Fair Housing Act” during the 2025 legislative session and hope to be a part of the voters in legislature. This bill will put necessary safeguards in place to prevent AI from making arbitrary rent decisions and protect Texas renters from the growing threat of algorithmic exploitation.

Here’s how the AI Fair Housing Act will work: 1. Mandating Transparency One of the biggest issues with AI-based rent hikes is the lack of transparency. Renters often don’t know if or when AI is being used to determine their rent prices. The AI Fair Housing Act will require landlords to disclose when AI is being used in rent pricing decisions. Tenants will have the right to know how their rent is determined and by what means. 1. This transparency will help tenants better understand and challenge unfair increases in rent. 2. Requiring Human Review for Rent Increases AI algorithms are not designed to understand the real-world impacts that housing costs have on people. A critical safeguard that the AI Fair Housing Act will put in place is the requirement that any AI-suggested rent increase must undergo human review. This means that before any rent increase is implemented, it must be evaluated by a human decision-maker who can assess whether the increase is fair, justified, and affordable for tenants. This review process will prevent landlords from hiding behind algorithms and will ensure accountability when raising rents. 3. Strengthening Tenant Protections Flawed algorithms have the potential to severely disrupt the lives of tenants. The AI Fair Housing Act will include provisions to protect tenants from unreasonable rent hikes caused by AI systems. This will include safeguards to prevent excessive increases in rent and ensure that tenants have sufficient time and resources to challenge unfair decisions.

In cases where AI algorithms produce rent increases that significantly exceed local market norms, tenants will have recourse to file complaints and request reviews. This additional layer of protection will help ensure that AI is not used as a tool to exploit renters.

If we don’t take action to regulate the use of AI in housing decisions, rent prices will continue to spiral out of control, leading to widespread displacement and further eroding the stability of our communities. Texans should not have to fear being priced out of their homes due to an impersonal algorithm designed to put profit before people. By implementing the AI Fair Housing Act, we can create a more equitable housing market where renters are protected, and rent increases are fair and transparent. This bill will ensure that corporate landlords are held accountable for the decisions they make using AI and that human oversight is always part of the equation.

The fight for fair housing is not just the responsibility of lawmakers—it’s a collective effort. If you believe in protecting the right to affordable housing and stopping the misuse of AI in rent decisions, here’s how you can help:

– Raise Awareness: Share this information with your friends, family, and community. Many people aren’t aware of the role AI plays in rent increases, and the more people who know, the more support we can gather.

– Contact Your Representatives: Let your local representatives know that you support the AI Fair Housing Act. The more voices they hear, the more likely they are to take action on this critical issue.

– Stay Informed: Keep an eye on developments around this bill and the use of AI in the housing market. This is a fast-evolving issue, and staying informed is crucial to advocating for change.

Artificial intelligence has many benefits, but when it comes to housing, it must be used responsibly. Renters deserve fairness, transparency, and protection from unjust rent hikes caused by AI algorithms. The AI Fair Housing Act is a necessary step toward ensuring that Texans have access to affordable, stable homes. Together, we can put an end to the unfair practices that are driving up rent costs and destabilizing our communities.

It’s time to put the power back in the hands of people, not machines. Let’s stand up for fair housing and demand action from our lawmakers to protect the future of Texas renters. Write me in this coming election so I can be your voice of change for this issue and many other issues you face and are concerned about.

Remember my name, SARAH SMITH, Write In Candidate for TX House of Representatives, District 126.