Oregon Rent Increase 2027: The 10% Cap and How to Apply It

Oregon has published its rent stabilization number for 2027, and for most landlords in the state it sets the ceiling on next year's renewal and anniversary increases. If you raise rent on an Oregon unit in 2027, you need the right percentage, the right timing and a notice that says the right things. Go over the cap without an exemption and the increase can cost you three months of rent plus the renter's actual damages.

This guide covers the 2027 figure, how the state calculates it, which units are exempt, the first-year and once-a-year timing rules, what a 90-day notice must say, the penalty, and a Portland rule that changes the math at exactly 10 percent. It is part of our compliance and legal guides for landlords.

Note: This article is general education, not legal advice. Oregon's rent rules have changed more than once in recent years and cities can add their own requirements, so consult a local attorney or Oregon Housing and Community Services before you rely on a specific increase or notice.

What is Oregon's maximum rent increase for 2027?

For most Oregon residential tenancies, the maximum rent increase in 2027 is 10 percent. The Oregon Department of Administrative Services (DAS) published that figure on September 28, 2026, for tenancies covered by ORS 90.323.

That is up from 9.5 percent in 2026, also according to DAS. Ten percent is the ceiling written into the statute, so 2027 is a year in which the formula reached the cap and the cap is what applies.

The cap is a maximum, not a target. Many landlords land well below it to keep a good renter, and our guide to calculating and communicating a rent increase at renewal walks through how to choose a number inside the limit. Space rent in manufactured dwelling parks and marinas follows a separate track, covered below.

How the 2027 percentage is calculated

Oregon's cap is 7 percent plus the annual change in the Consumer Price Index, or 10 percent, whichever is lower. The formula sits in ORS 90.324, and the DAS Office of Economic Analysis runs it every year.

• Inflation measure: the September annual 12-month average change in the CPI for All Urban Consumers, West Region, All Items.
• Add-on: 7 percentage points on top of that CPI change.
• Ceiling: 10 percent, however high inflation runs.
• Deadline: DAS must calculate and publish the next year's figure by September 30.

Because the 2027 result is the 10 percent ceiling, 7 percent plus CPI came out at or above 10 percent. You do not need to redo the calculation. Use the published percentage, and keep a note of where it came from in case a renter asks.

Which Oregon units are exempt from the cap?

Two kinds of units are outside the percentage cap in ORS 90.323: newer buildings whose first certificate of occupancy was issued less than 15 years before the notice date, and certain government-regulated affordable units. Most other residential tenancies are subject to it.

Newer construction: the rolling 15-year rule

Count from the date the first certificate of occupancy was issued to the date you give the rent increase notice. The window rolls forward every year. For illustration, a building whose first certificate was issued in March 2012 reaches 15 years in March 2027, so a notice given in February 2027 can rely on the exemption and a notice given in April 2027 cannot. Keep a copy of the certificate with the property records so you can show the date.

Regulated affordable housing

Units regulated or certified as affordable housing by a government are exempt when the rent change does not raise the renter's share of rent, or when the change is required by the program's eligibility rules or by a change in the renter's income.

Manufactured dwelling and marina spaces

ORS 90.323 does not apply to space tenancies governed by ORS 90.505 to 90.850. For month-to-month space tenancies, ORS 90.600 applies instead, and ORS 90.324 sets its cap: 6 percent for facilities with more than 30 spaces, and the same lesser of 10 percent or 7 percent plus CPI for facilities with 30 or fewer spaces. The DAS 2027 announcement confirms 6 percent for the larger facilities. ORS 90.600 also requires at least 90 days of written notice with the same four items, allows no more than one increase in any 12-month period, carries the same three months' rent plus actual damages penalty for going over the cap, and has its own exemptions, including a narrow one for tenant-approved infrastructure projects in facilities with more than 30 spaces. If you own a park or marina, read ORS 90.600 in full before raising space rent.

For units under ORS 90.323, an exemption from the percentage is not an exemption from everything. The first-year rule, the once-per-12-months rule and the 90-day notice still apply, and a notice that goes above the cap must explain why.

When you can raise rent: the first year and once every 12 months

You cannot raise rent during the first year of a tenancy, and after that you can raise it no more than once in any 12-month period. Both rules come from ORS 90.323 and apply to every tenancy except week-to-week.

1. Find the date the tenancy began, not the date the current lease was signed if it is a renewal.
2. The earliest an increase can take effect is the first anniversary of that date.
3. Count back at least 90 days from the effective date to find your last day to give notice.
4. After any increase, the next one cannot take effect for at least 12 months.

Week-to-week tenancies work differently: the landlord must give at least 7 days of written notice before an increase takes effect. Renewing a fixed-term lease does not restart the clock. If rent went up in June 2026, a renewal signed in October 2026 cannot carry another increase until June 2027.

What an Oregon rent increase notice must include

Give written notice at least 90 days before the increase takes effect, and state the amount of the increase, the new rent and the effective date. If you are going above the cap under an exemption, the notice must also state the facts that support the exemption.

• The amount of the increase.
• The new rent amount.
• The date the increase takes effect.
• If the increase exceeds the 2027 maximum, the facts supporting the exemption, such as the certificate of occupancy date.

How you deliver the notice matters too. Under ORS 90.155, written notices can be delivered in person, by first class mail, by mail plus attachment to the unit's main entrance if the written rental agreement provides for it, or by email only under a written addendum signed after the tenancy begins that meets the statute's requirements. ORS 90.155 also adds three days to some notice periods when a notice is mailed, so build in a cushion if you mail it, and keep proof of delivery. Our guide on writing a rent increase notice covers wording, and if a renter is hard to reach, see how to serve notices to uncooperative tenants.

Worked example: applying the 2027 cap

The numbers below are illustrative. Picture an owner with two units in a Salem duplex, neither exempt, with no increase taken on either unit so far.

Unit A has been occupied for more than a year, so the owner can choose any effective date as long as notice goes out 90 days ahead. Unit B cannot take an increase before September 1, 2027, because that is the end of its first year. The owner decides to raise Unit B by 6 percent instead of 10, an $84 increase to $1,484, because that renter pays on time and replacing them would cost more than the extra $56 a month.

Now suppose the owner had raised Unit A by 12 percent, to $1,848. That is $33 a month over the limit, but the exposure is not $33 a month. The landlord would be liable for three months' rent plus actual damages, which on this unit is roughly $5,000 or more. A small overshoot carries a large penalty.

Penalties and the rule that follows the unit

A landlord who raises rent above the cap is liable to the tenant for three months' rent plus the tenant's actual damages under ORS 90.323. The same penalty applies to one more rule that targets turnover in the first year.

If a landlord ends a tenancy during its first year with a 30-day no-cause notice under ORS 90.427, the landlord may not charge the next renter more than the maximum increase it could have taken on the tenancy it ended. In other words, you cannot use a first-year no-cause termination to reset rent past the cap. Oregon's limits on terminations are covered in our guide to just cause eviction laws.

Portland: relocation assistance at 10 percent

In Portland, a rent increase of 10 percent or more over a 12-month period triggers mandatory relocation assistance, so taking the full 2027 state maximum has a cost there that it does not have elsewhere in Oregon.

According to the Portland Housing Bureau, the landlord must give at least 90 days of written notice of the increase that describes the renter's rights and states the assistance amount. If the renter accepts the payment, they must move out or return the funds. Landlords must notify the Housing Bureau within 30 days of making a payment. The amounts listed by the Bureau are:

Some situations are exempt, such as week-to-week tenancies, a landlord who shares the unit with the renter, and an owner who lives in one half of a duplex. Many exemptions require a filing with the Housing Bureau, sometimes before the lease is signed, so check the current list before relying on one.

The practical consequence: on Unit A above, a 9.9 percent increase raises rent to $1,813.35 instead of $1,815. That $1.65 a month is the difference between staying under Portland's trigger and owing a renter up to $4,500. Other Oregon cities may have their own rules, and our guide to raising rents in a rent-controlled market has more on working inside local limits.

A 2027 rent increase checklist for Oregon landlords

Before each increase, confirm the tenancy start date, the date of the last increase, the exemption status and your city's rules, then send a complete written notice at least 90 days ahead.

1. List every unit with its tenancy start date, current rent and last increase date.
2. Mark units that are exempt, and file the proof (certificate of occupancy date or program documents).
3. Check city rules, especially in Portland, before choosing a percentage of 10 or more.
4. Pick the increase, at or below 10 percent for covered units, and calculate the new rent.
5. Send the written notice at least 90 days before the effective date, with the increase amount, new rent and effective date.
6. Keep a copy of the notice and proof of delivery, and calendar the earliest date the next increase could take effect.

For other changes coming next year, see our roundup of new landlord laws taking effect in 2027.

Frequently asked questions

How much can a landlord raise rent in Oregon in 2027?

For most residential tenancies, 10 percent, the maximum the Oregon Department of Administrative Services published for 2027. Newer buildings and certain regulated affordable units are exempt from the percentage, but not from the notice and timing rules.

How much notice is required for a rent increase in Oregon?

At least 90 days of written notice for most tenancies, and 7 days for week-to-week tenancies. The notice must state the amount of the increase, the new rent, the effective date and, if you rely on an exemption to go above the cap, the facts supporting it.

Can a landlord raise rent in the first year of a lease in Oregon?

No. ORS 90.323 bars rent increases during the first year of a tenancy, other than week-to-week tenancies, and after that allows only one increase in any 12-month period.

Is new construction exempt from Oregon rent stabilization?

Yes, if the first certificate of occupancy was issued less than 15 years before the date of the rent increase notice. Once the building passes 15 years, its units fall under the cap.

What happens if an Oregon landlord raises rent above the limit?

Under ORS 90.323, the landlord is liable to the tenant for three months' rent plus the tenant's actual damages.

What to do next

The hard part of Oregon's rules is rarely the percentage. It is tracking, unit by unit, when each tenancy started, when rent last changed, when the next notice has to go out and what it said. Miss one date across a handful of units and an increase may not be valid when you planned it, and an increase over the cap without a supported exemption can turn into a three-month penalty.

Shuk keeps lease start and end dates, renewal status and rent for each unit in Account and Lease Management, and the Rent Roll and Active Lease Overview reports put every unit's lease terms and rent in one export. The Lease Indication Tool polls renters 6, 5, 4 and 3 months before lease end, so you have a read on who plans to stay before your 90-day notice window opens. Once a notice is prepared, you can store it in the Document Center and share the file with the renter, while delivering the legal notice itself by a method Oregon law accepts.

At as low as $2 per unit per month, with no setup fees and no contract, and with White Glove Onboarding included at no additional cost, Shuk makes on-time, well-documented rent increases feasible for landlords and property managers up to 300 units.

Book a demo at shukrentals.com/book-a-demo to see how Account and Lease Management, the Lease Indication Tool and the Document Center work together so every Oregon rent increase goes out on time with a clear record behind it.