Portland Rent Control Laws 2026: What Landlords Need to Know (SB 608 Guide)

1. There’s a firm annual cap on how much you can raise rent

The Oregon Office of Economic Analysis calculates and publishes the maximum allowable rent increase percentage each year by September 30, covering the following calendar year. The cap is generally based on 7% plus the Consumer Price Index for all urban consumers in the West Region.

A few key rules apply:

• You can only raise rent once per year
• You cannot increase rent during the first 12 months of a tenancy
• When a tenant moves out, you may reset rent to market rate for a new tenant — the cap applies only to existing tenancies

2. You must give proper written notice — or face consequences

Timing and documentation matter.

For rent increases, landlords must provide advance written notice:

• At least 90 days’ notice for rent increases
• The notice must clearly state the new rent amount, effective date, and landlord contact information

If proper notice is not provided, tenants may refuse to pay the increase until corrected notice is given. Landlords who fail to comply may also face penalties, including potential liability for damages and statutory remedies available to tenants.

The takeaway: document everything and send notices early.

3. Not all properties are covered — know your exemptions

SB 608 does not apply universally to all rental units.

The rent increase limitations generally apply to:

• Residential rental units that are at least 15 years old (based on certification/habitation timelines)
• Properties that are not otherwise exempt under state law

Exemptions may include certain newer construction, government-subsidized housing, and other qualifying categories. Some substantially renovated properties may also fall under exemption rules depending on scope and timing of improvements.

Because exemption status can be nuanced, it’s important to verify property eligibility using official records.

4. You can’t evict long-term tenants without cause

One of the most significant changes under SB 608 is the elimination of no-cause terminations after the first year of tenancy.

After a tenant has occupied a unit for 12 months or more, landlords must have a qualifying reason to end the tenancy. Valid reasons include:

• Non-payment of rent
• Lease violations or property damage
• Owner move-in or immediate family occupancy
• Sale of the property to a buyer who will occupy the unit
• Substantial repairs or renovations requiring vacancy

When a landlord uses certain qualifying reasons (such as owner move-in or sale for occupancy), 90 days’ notice is typically required, along with relocation assistance equal to one month’s rent in many cases. Smaller landlords with four or fewer rental units may be exempt from relocation assistance requirements.

During the first 12 months of tenancy, landlords may terminate a month-to-month rental agreement with advance written notice, as required by applicable law. Note that notice periods can vary depending on jurisdiction, and some cities in Oregon — including Portland, Milwaukie, and Eugene — may require longer notice periods such as 90 days in specific circumstances.

5. Violations carry serious financial penalties

Oregon’s law has real consequences for non-compliance.

Penalties may include:

• Up to three months’ rent in damages
• Actual damages incurred by the tenant
• Potential invalidation or delay of eviction proceedings if procedures were not properly followed

In practice, violations can significantly delay possession recovery and create costly legal complications.

The bottom line for Portland landlords

Oregon’s rent regulations under SB 608 are among the most structured in the country, and compliance is essential for protecting both income and property rights. Because notice requirements, exemptions, and eviction rules can vary based on jurisdiction and property type, careful review of each situation is critical.

Working with an experienced local property manager can help ensure compliance with evolving regulations, from rent increase notices to tenant transitions and lease enforcement.

Have questions about managing your Portland rental property? Contact our team — we handle everything from rent increase compliance to lease renewals and tenant transitions.

Disclaimer: This post is for informational purposes only and does not constitute legal advice. Consult a qualified Oregon attorney for guidance specific to your situation.