According to condominium owner Zumper, the median rent Tuesday for a 1-bedroom residence in Portland is $1,500 per month. In 2023, the same unit could reach $1,719 per month, costing tenants an additional $2,628 for the year, if their landlord decided to implement the maximum increase of 14.6%. SB 608 applies to rental apartments in Oregon that are 15 years of age or older. It does not apply to newly constructed dwellings. On September 15, the Oregon State Office of Economic Analysis debuted with a maximum rent increase rate of 9.9% for 2022. SB 608 set the formula for maximum rent increase at 7% plus the West Coast Consumer Price Index, which changes annually. For 2021, the maximum increase was 9.2%. Because there are few vacant rental apartments, Lehner said, many tenants will likely be stuck no matter what landlords ask. Others may share the space with family or roommates. If a tenant faces an increase, Oregon law requires written notice and service on the tenant to be legally effective. Please note that there are limited exceptions to the rent cap for affordable housing providers and for new buildings. Housing providers should not increase rent by more than 14.6% without ensuring that an exemption applies and that all necessary information is included in the notification. Multifamily NW provided an overview of the SB 608 rules, which you can view here.

If you are still unsure of your rights under this law, we recommend that you consult a lawyer. No tenant is happy to learn that their rent is going up. However, the steady rise in rents is a sign of a healthy economy and a booming market. Rent increases are also needed to keep up with inflation and rising costs of living. The need to keep up with the market without setting prices for tenants is difficult for many landlords. Focusing on resident retention is a great way to build a financially stable rental business in the Portland market. Effective January 1, 2023, current rent increases for Oregon residents cannot exceed 14.6%. While this applies nationally, housing providers must ensure that they meet all other applicable requirements, whether set by programs or local jurisdictions such as the City of Portland`s Relocation Order. In the city of Portland, any rent increase of more than 9.9% can result in a relocation payment.

The rent increase only applies to apartments built 15 years ago or more. Newer homes are exempt, a fallout designed to prevent the rule from preventing the construction of new rental housing. An Oregon landlord must provide a 7-day notice period for a week-over-week rent increase and a 90-day notice period for monthly tenants (ORS 90-385). Kim McCarty, director of the Oregon Community Alliance of Tenants, said the group is already seeing an increase in the number of people calling the Tenant Rights Hotline. Merah also said tenants who believe their landlords have increased their rent beyond legal limits should call 211 for tenant representation or legal assistance. If it seems difficult to find this balance, there are good reasons to do so. With the many federal, state, and local laws impacting property management in Portland`s rental area, landlords need to consider many considerations in addition to the usual management challenges. COVID-19 and the accompanying rental legislation have added a new layer of difficulty to an already complicated business. If you`re feeling overwhelmed or unsure about how to proceed in your business, it may be time to hire a property manager. Oregon`s rent control laws are unique in the country. California has statewide rent restrictions and three other states have non-state rent control. Oregon, however, remains the only state with true statewide rent control.

It is not clear how many landlords will increase rents by the maximum amount allowed. But it comes at a time when Oregon tenants may have no choice, Lehner said. As of January 1, 2023, Oregon landlords can legally increase rents by up to 14.6 percent. This year, the cap is 9.9%, representing a year-over-year jump of 4.7 percentage points. Even before the rapid pace of legislation during the pandemic, Oregon quickly introduced new rules for homeowners in recent years. Laws that enforce rent control statewide in Oregon, prohibit free evictions, change tenant controls, etc. have further changed the face of Portland`s rental market. With so many changes happening at a huge rate, it`s important to have a knowledgeable advocate by your side.

Officials said Tuesday that Oregon landlords could raise rents by up to 14.6 percent next year as part of a statewide rent control policy. Oregon landlords can only charge late fees if the fees are disclosed in the lease. A landlord may charge a “reasonable” one-time fee once the rent is more than five days late, the landlord may charge a daily late fee of up to 6% of a “reasonable” one-time fee, or the landlord may charge a late fee equal to 5% of the monthly rent every five days until rent is paid (ORS 90,260). With evictions and tenant review laws evolving, it`s hard for Oregon landlords to predict what new challenges 2022 will bring. State economists announced in September that Oregon`s rent increase cap for 2022 is capped at 9.9 percent. At 9.3%, this amount is just above the annual average of rent increases over 22 years. For landlords who plan to increase their rent for next year, this information will show how their rental income could change. However, the nuances of Oregon`s rent control laws mean there are more factors to consider before raising rents.

She added that the new rent cap would have even worse effects on communities of color, immigrants, refugees and rural residents of Oregon. Rents in Oregon have risen steadily over the past 22 years, according to the state, with annual increases fluctuating within a margin of just four percentage points. The smallest annual increase over this period was 7.1% in 2010. And the highest value in the last two decades was 11%, in 2002 and again in 2009. The average price of the rent increase during this period is about 9.3%. In an effort to encourage developers to continue building new rental housing, Oregon`s rent increase laws only apply to homes older than 15 years. Keep in mind, however, that this 15-year limit is a moving target. If your home is 14 years old, it will age under rent control restrictions next year.

So keep an eye on the age of your property and when SB 608 restrictions come into effect or risk legal consequences. This may reflect the impact of newly opened apartment buildings, which typically charge a premium, and those built within the last 15 years for which rent caps do not apply. The maximum rent increase applies to apartments and rental homes that have been in existence for 15 years or more. The state of Oregon has new legislation to introduce statewide rent control (Oregon SB608). After the adoption of SB 608 in February 2019 and the first nationwide rent control, the State of Oregon was asked to create a website and update it annually until the end of September to show the maximum annual rent increase allowed in Oregon: www.oregon.gov/das/OEA/Pages/Rent-stabilization.aspx – Jayati Ramakrishnan; 503-221-4320; jramakrishnan@oregonian.com; @JRamakrishnanOR Penalties for violating Oregon`s rent control are high.