Staying Compliant with Oregon’s Evolving Rental Laws
As a landlord in Oregon, keeping up with changing landlord-tenant laws is essential to protecting your investment and ensuring a smooth rental process. Recent legal updates impact evictions, rent control, tenant screening, and more. Understanding these changes helps landlords remain compliant while maintaining a fair and transparent rental process.
Rent Control and Rent Increases
Oregon is the first state in the U.S. to implement statewide rent control, and recent changes affect how much landlords can legally raise rent.
- Annual Rent Increase Cap: As of 2024, Oregon’s rent control law caps annual rent increases at 7% plus inflation. The Oregon Office of Economic Analysis announces the allowable percentage annually.
- Exemptions: Certain rental properties, such as newly constructed units (less than 15 years old), may be exempt from these rent increase limits.
- Notification Requirements: Landlords must provide at least 90 days’ written notice for any rent increase.
Eviction Moratorium and New Restrictions
The aftermath of the pandemic has led to new rules governing evictions in Oregon.
- No-Cause Evictions: Under SB 608, no-cause evictions are largely prohibited after the first 12 months of tenancy. A landlord may only issue a no-cause eviction in limited circumstances, such as personal property use or significant renovations.
- Non-Payment of Rent: If a tenant falls behind on rent, landlords must issue a 10-day nonpayment notice before filing for eviction, giving tenants a chance to pay before proceedings begin.
- Relocation Assistance: In some cases, landlords must provide relocation assistance if terminating a lease without tenant fault.
Tenant Screening and Background Checks
Recent legal updates impact tenant screening procedures, requiring landlords to adjust their policies.
- Application Fees: Landlords must disclose screening criteria before accepting an application and can only charge fees for actual screening costs.
- Criminal Background Checks: Oregon law now restricts how landlords use criminal history in tenant screening. Blanket bans on applicants with a criminal record may result in legal action.
- Income Requirements: Rental properties that accept Housing Choice Vouchers (Section 8) cannot require an income higher than 2x the rent amount.
- Tenant Credit Reports: Landlords must ensure that credit report checks comply with the Fair Housing Act and Oregon regulations.
Security Deposits and Lease Agreements
Changes to security deposits and lease agreements aim to provide additional protections for tenants.
- Limits on Security Deposits: Security deposits cannot exceed one month’s rent unless additional agreements justify higher amounts.
- Deposit Return Deadlines: Landlords must return security deposits within 31 days of move-out, along with a detailed list of deductions, if applicable.
- Lease Agreement Transparency: All leases must clearly outline fees, maintenance responsibilities, and any potential costs to avoid disputes.
How Landlords Can Stay Compliant
Navigating Oregon’s evolving rental laws can be complex, but staying informed and adapting your property management practices will help you avoid legal complications.
- Work with a Tenant Screening Company: Using a trusted tenant screening company ensures compliance with background checks, rental history, and income verification regulations.
- Update Lease Agreements: Review and update lease terms regularly to reflect the latest laws and fair housing guidelines.
- Provide Proper Notices: Ensure all rent increases, lease terminations, and security deposit returns meet legal deadlines.
- Stay Educated: Regularly check for updates from the Oregon Rental Housing Association or legal sources for ongoing changes.
Verify Before You Trust – Use a Tenant Screening Company
At Tenant Screening Center Inc. (TSCI), we specialize in helping landlords identify trustworthy tenants while ensuring compliance with Oregon’s rental laws. Our services include tenant background checks, credit reports, eviction history, and rental verifications, giving you the confidence to rent to responsible tenants.
Stay protected and make informed decisions. Contact TSCI today to ensure your rental process is legally compliant and secure.
Visit our website to learn more about our tenant screening services.
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