Oregon Rent Increase Laws

By PropertyClub Team
Jun 21st 2024
In Oregon rent increase cap is set at 7% plus the current rate of inflation as published by the Consumer Price Index for All Urban Consumers, West Region (CPI-U). For example, if the inflation rate is 3%, the maximum allowable rent increase would be 10% (7% + 3%). Rents across the country are getting so high that some states have implemented rent control laws to limit how much and how often they can raise the rent. Here is a look at the rent increase laws in Oregon.

hash-markHow Much Can a Landlord Raise Rent in Oregon?

The figure is set at 7% plus the Consumer Price Index for All Urban Consumers in the West Region, or 10%, whichever is lower. Oregon is one of five US states with rent control laws in place. Each year, the Oregon Office of Economic Analysis calculates and publishes the maximum allowable rent increase allowed for the following year.

For 2024, the maximum allowable annual rent increase for notices issued before July 6th is 10%. In 2023, it was 9.9%. So, the rent increase limit fluctuates based on the cost of living in the western United States, as published by the Bureau of Labor Statistics.

hash-markOregon Rent Control Exemptions

Even though Oregon has some of the strictest rent control laws in the country, there are a few exceptions to the rule. Buildings less than 15 years old are not subject to the rent increase limit, so the laws won’t deter new construction. Government-subsidized rents are also not subject to the same rent control laws, and there is no rent increase limit if the tenant chooses not to renew their lease.

hash-markHow Often Can a Landlord Raise Rent in Oregon?

Landlords can raise the rent whenever they like for any reason as long as they provide the proper notice and abide by the lease terms. They cannot increase the rent during the first year of tenancy or during the fixed term of the lease unless there is a specific clause that allows an increase. So, if you have a lease for one year, the landlord can only raise rent once per year unless it’s explicitly stated in the contract.  

hash-markOregon Fair Housing and Retaliation Laws

It’s also important to note that landlords in Oregon are not allowed to increase the rent for discriminatory or retaliatory reasons. The federal Fair Housing Act prohibits discrimination in the housing market based on race or color, gender, sexual orientation, religion, nationality, familial status, or disability.

Oregon state law also prevents rent increases from being used as a method of retaliation. For instance, if you reported the landlord to the city for a building code violation and they suddenly raised your rent, If you believe your rent increase is due to discrimination or retaliation, you should file a complaint with the appropriate agency or even seek legal representation if the discrimination is severe.

hash-markHow Much Notice Period Is Required When Raising Rent in Oregon?

After the first year, they must provide a minimum of 90 days’ notice that the rent will increase. They must also provide written notice of the rent increase, which must be hand-delivered or sent by first-class mail. The notice must state how much the rent is increasing and what the new rent will be. It must also clearly state the date the new rent will go into effect and explain why the rental unit is exempt from the Oregon rent increase limit.

hash-markCities in Oregon with Additional Rent Control

Portland

Portland has a few additional rent control measures in place to protect tenants.

  • If the rent is set to increase above 10% within any particular 12-month period and the tenant decides to move as a result, the landlord must provide them with rental assistance to help pay for their move. 
  • If landlords plan to charge any non-refundable fees (for smoking violations, damage to the property, etc.), it must be clearly stated in the lease, along with the amount per violation.
  • Beyond that, the same maximum rent increase limits also apply.

Eugene

Eugene has implemented several tenant protection measures to support renters. While not additional rent control per se, these protections include requiring landlords to give longer notice periods for rent increases and evictions. For example:

  • Landlords must provide a 90-day notice for any rent increase. 
  • In cases of no-cause evictions after the first year of tenancy, landlords are required to offer relocation assistance.
  • Furthermore, Eugene encourages landlords to provide clear and detailed lease agreements specifying any non-refundable fees for violations such as smoking or property damage.

Salem

Salem has focused on tenant rights through various local ordinances, which include: * A 90-day notice requirement for any rent increase. * Detailed disclosure requirements for non-refundable fees and lease terms to ensure transparency between landlords and tenants.

Hillsboro

Hillsboro has implemented similar tenant protection measures, such as:

  • Requiring a 90-day notice for rent increases.
  • Providing additional support and resources for tenants facing eviction or displacement due to rent increases.

Medford

Medford has adopted local ordinances to enhance tenant stability, including: 

  • A mandatory 90-day notice period for rent increases.
  • Support services for tenants facing eviction, including legal aid and relocation assistance.

hash-markOregon Rent Increase Bottom Line

Rents across the country are getting so high that some states have implemented rent control laws to limit how much and how often they can raise the rent. Oregon, one of the five US states with rent control laws, sets the maximum allowable rent increase each year based on the Consumer Price Index and a fixed percentage. For 2024, this is 10%. However, new buildings, government-subsidized units, and non-renewed leases are exempt from these limits.

Landlords must also provide a 90-day notice for rent increases after the first year of tenancy and cannot increase rent for discriminatory or retaliatory reasons. Some cities, like Portland, have additional protections, such as rental assistance for tenants facing significant rent hikes.