After a few months of calm in the Portland Rental Market, rents are starting to climb once again and have in fact gone up by over 3% in the last year compared to one year ago when rents went up by roughly 1%.
There was hope that the supply of new apartments across Portland, combined with new statewide rent control legislation, would stop the rent increases but we’re seeing them go up once again.
Keep in mind that 3% is still a long way from the rent increases that we saw in 2015-2016 when rents increased by over 10% but a rent increase still has to be absorbed by tenants regardless of the percentage.
What’s Next for The PDX Rental Market?
The rent increases aren’t felt evenly across the metro area.
In the central city, which has seen some of the most intense apartment development and where rents are highest, rates remain relatively flat.
But they’re growing more quickly in other corners of metro Portland. The Beaverton and Vancouver areas lead the way, with average rent increases that approach 5%.
That reflects more intense competition over the most affordable rentals. Willett said rents are climbing faster for low-rise and garden-style apartments, for example, than for more expensive units in new mid-rises and towers.
Renters are feeling the pressure, said Katrina Holland, the executive director of the Community Alliance of Tenants.
“It’s a message to our elected officials that we need to be extremely thoughtful, intentional and serious about implementing some robust anti-displacement processes,” she said. “Otherwise we’re just going to see gentrification continue.”
Oregon this year capped rent increases at 7% a year plus the rate of inflation, which for 2019 amounts to 10.3%. And Portland requires landlords to make payments to renters who choose to move rather than absorb a rent increase of 10 percent or more.
Contact Rent Portland Homes
To learn more about the local rental market, or to speak with us about our property management services, contact Rent Portland Homes by calling us at (503) 515-3170 or click here to connect with us online.