Oregon Rent Increases & Fees

Last Updated: May 5, 2022 by Elizabeth Souza

QUICK FACTS
  • Rent Control / Increase Limitations. Oregon landlords can only raise the rent after 1 year of tenancy. The rent increase maximum is at 7% plus CPI.
  • Notice Required to Raise Rent. A 7-day notice is mandatory for week-to-week tenancies and 90-day notice for all other tenancies.
  • Late Rent Fees. Oregon landlords can charge reasonable late rent fees based on the penalties indicated in the written lease agreement.

When Can a Landlord Increase Rent?

According to Oregon legislation, introduced in 2019, a landlord may not increase rent within the first year of tenancy. After the first year, a landlord may increase rent so long as the appropriate notice is provided. (Oregon SB608) However, the amount that a landlord may increase rent annually is capped at 7% plus the consumer price index (CPI).

Questions? To chat with an Oregon landlord tenant attorney, Click here

When is it Illegal to Raise Rent?

According to the Federal Fair Housing Act, it is illegal for an Oregon landlord to raise rent based on the age, race, religion, nation or origin, familial status, or disability status of a tenant.

It is also illegal for an Oregon landlord to increase rent in retaliation within six months of a tenant having filed a complaint with the appropriate agency regarding the health or safety of the property, or having filed a complaint about housing discrimination, or joining or organizing a tenant’s group. (ORS 90-385)

Is there a Rent Increase Limit?

According to legislation passed in 2019, an Oregon landlord may not increase rent above 7% plus the consumer price index (CPI) annually (ORS 90.323).This legislation also makes it illegal for an Oregon landlord to increase rent within the first year of tenancy. This does not cover rental property when the landlord owns two or fewer units on the same property and lives in one of the units.

The Oregon Office of Economic Analysis calculates and publishes the maximum annual rent increase percentage on September 30th of each year that is allowed by statute (ORS 90.323 or ORS 90.600) for the following calendar year. For 2022, the maximum rent increase rate is 9.9%.

How Much Notice is Needed for Raising Rent?

An Oregon landlord must provide a 7-Day Notice to increase rent on a week-to-week tenant. A landlord must not increase rent during the first year unless it is a week-to-week tenancy. After the first year, a landlord may increase rent by providing a 90-Day Notice. (ORS 90.323)

Oregon law states that the notice must include the following information:

  • The amount of rent increase.
  • The amount of the new rent.
  • Facts supporting a rent increase exemption if the increase is above the amount allowed. (i.e., ORS 90.323(7))
  • The date which the increase becomes effective.

How Often Can Rent Be Increased?

A landlord cannot increase rent within the first year of tenancy (unless it is a week-to-week tenancy). After the first year, a landlord may increase rent annually.

Laws Regarding Late Fees

Oregon landlords can charge a late fee if the fees are written the lease. A landlord may charge a “reasonable” one-time fee once the rent is more than five days past due. The landlord may also 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)

If it’s a periodic tenancy, the landlord can change the type or amount of late charge by giving a 30 days’ notice.

Laws Regarding Bounced Check Fees

An Oregon landlord may charge a fee up to $35 plus any fees the landlord’s bank charged for a check returned for insufficient funds. (ORS 30.701)

Cities in the State With Rent Control

The state of Oregon has new legislation instituting state-wide rent control. Limiting rent increases to no more than 7% plus the Consumer Price Index Percentage (CPI).  (Oregon SB608)