Oregon’s rent increase laws in 2025 continue to provide tenants with important protections governed primarily by state statutes and enforced by the Oregon Department of Administrative Services (DAS) through its Office of Economic Analysis. The key points that tenants should know about the 2025 rent increase regulations are as follows:
For residential rental units that have been certified for occupancy for 15 years or more, the maximum allowable rent increase for the calendar year 2025 is capped at 10.0%. This cap is calculated annually based on a formula established by Oregon law: 7% plus the annual 12-month average change in the Consumer Price Index (CPI) for All Urban Consumers in the West Region, or 10%, whichever is lower. For 2025, this formula resulted in a maximum increase limit of 10%, consistent with recent years where the cap has fluctuated around 9% to 10%. This percentage must be strictly adhered to for rent increases in older residential buildings.
It is important to note that only one rent increase is permitted in any 12-month period for residential tenants. Landlords cannot raise rent multiple times within a year to circumvent the cap. This legal restriction prevents excessive or rapid rent hikes, offering tenants predictable and fair rental cost adjustments over time.
Certain properties are exempt from this rent increase cap. Notably, residential units less than 15 years old, and units certified or regulated as affordable housing by government entities, may be exempt. For example, newly constructed apartment buildings or government-subsidized housing are not subject to Oregon’s rent stabilization laws and the rent for these may be increased at the landlord’s discretion, subject to proper notice requirements.
Regarding notice requirements, landlords must provide written notice ahead of any rent increase:
A 90-day written notice is mandatory for rent increases of 10% or more for tenants on month-to-month or longer-term leases.
For increases below 10%, landlords must still provide at least 30 days’ notice.
For week-to-week tenancies, only 7 days’ notice is required before any rent increase can take effect.
All notices must be delivered in person or mailed via first-class mail, clearly stating the amount of the increase, the new rent amount, and the date the increase takes effect.
Additionally, Oregon law prohibits landlords from raising rent during the first year of tenancy. Rent increases are only allowed starting from the tenant’s second year in the unit, reinforcing stability for new tenants.
Oregon has incorporated these rent increase limits into broader housing laws enacted in 2019 (SB 608) and amended in 2023 (SB 611) to control rapid rent growth amid a tight housing market and affordability crisis. These laws also introduced for-cause eviction protections and other tenant-friendly provisions designed to balance landlord interests with tenant protections in one of the nation’s most renter-heavy states.
In summary, tenants in Oregon should expect that for older residential units, rents cannot be raised by more than 10% annually in 2025, with only one hike allowed per year and with advance written notice. Exemptions apply primarily to newer buildings and government-subsidized units. Understanding these rules helps tenants anticipate changes and assert their rights, fostering more equitable and predictable rental housing conditions.
If tenants have questions about specific situations or need legal advice regarding rent increases, consulting a qualified attorney or tenant rights organization is recommended, as the state agencies provide general guidance but cannot offer legal counsel.
This comprehensive rent increase framework reflects Oregon’s ongoing efforts to address affordability while respecting property owner rights and maintaining rental housing availability.
Sources
[1] https://apps.oregon.gov/oregon-newsroom/OR/DAS/Posts/Post/das-publishes-annual-maximum-rent-increase-for-2025
[2] https://www.corvallisoregon.gov/cd/page/annual-maximum-rent-increase
[3] https://rentpost.com/resources/article/raise-rent-laws-in-oregon/
[4] https://www.oregon.gov/das/oea/pages/rent-stabilization.aspx
[5] https://oregonlawhelp.org/topics/housing/rental-housing/rent-increases-fees-and-deposits/rent-increases-and-lease-violation-fees