Maybe you’ve heard of SB 608. Maybe you haven’t. If you’re a Landlord, you should.

When this first was on the table, and even after it got passed, people assumed it was just about capping rents. But there’s actually a lot more to it.

So how does SB 608 affect me as a Landlord?

First, you can’t raise rent more than 7% plus CPI* in a 12 month period.

Now – if you never raise rents – great! You’re not affected. But if you’re in the 99% that do, here’s what you need to know about SB 608.

The 12-month period is a rolling period. This means it doesn’t follow a calendar year. You can raise rent every August or March or December 25th (Grinch status). Essentially whenever you’d like, as long as it’s 365 days after the last increase. Unsure of when we last raised your tenant’s rent and if you’re able to under SB 608? Email us at info@tindellco.com.

Okay, so now that that makes sense, here’s the other portion.

No-Cause “Evictions” are no longer allowed after the first year of tenancy, except under specific circumstances.

But what does that mean, you ask?  Here’s a quick snapshot.

1. Are you ready to sell the rental you’ve had the same tenants in for the last 3 years? You have to list the home with them inside.
2. Hoping to ask the tenants that are well under market rent to vacate, so that you can charge more rent? No go.
3. Do you feel like these tenants aren’t taking care of the home as you’d like, but technically aren’t violating any lease terms? Nope.

Now, as a Property Manager/Broker, SB 608 honestly doesn’t pose that big of a problem for many of our Landlords. I say this because, there ARE exceptions, and these are the ones that scared a lot of people.

1. Landlord intends to demolish the dwelling, or convert to any non-residential use.
2. Landlord intends to undertake repairs/renovations to make the premises unfit or unsafe for occupancy.
3. Landlord or immediate family member intends to move back into the home.
4. Landlord has accepted an offer to purchase from a buyer intending to make the home their primary residence.
5. Repeat Violations of three or more in a 12 month period.
6. Landlords are exempted if their primary residence is a 2-plex or smaller.

For us, and our sellers, the biggest concern with SB 608 is #4 with interest rate locks, staging, and overall maximum profits. But that’s a discussion for another day. Also look out for our upcoming post on the Portland Renter Relocation Assistance Program. If you’re within the City of Portland limits, you get the double whammy with Portland and Oregon. Fun! *Sarcasm

Again, I am not an attorney. So if you are interested in utilizing one of the six exceptions, we highly recommend you seek legal counsel.

But, I hope you found this short summary helpful.

If you ever need help navigating or decide you need a property manager so you don’t have to deal with all these new laws, visit our Owner’s page. You can also give me a call at 971-238-2339 or email patricia@tindellco.com.

*Consumer Price Index. Published by the Bureau of Labor Statistics of the United States Department of Labor in September of the prior calendar year. Can be found here.

Written by:

Patricia Kirk

Certified Negotiation Expert (CNE)

HOWNW.com Certified Specialist (HCS)

2019 State and Local Director

Chief Operations Officer, Broker | Tindell & Co

971-238-2339

OR# 201219532