Oregon sets maximum rent increase at 9.9% for 2022

Most Oregon landlords will be allowed to increase rent by a maximum of 9.9% in 2022, state economists announced on Monday.

The state calculates the highest allowable rent increase for the next calendar year each September. The maximum rent increase for 2021 was 9.2%.

The state Legislature in 2019 imposed a statewide rent control policy, making Oregon first state in the nation to do so.

The law capped rent hikes at 7% plus inflation during any 12-month period.

The rent increase only applies to homes that were built 15 years ago or more. Newer homes are exempt, a carve-out intended to keep the rule from discouraging the construction of new rentals.

The state determines the rate of inflation each year using the Consumer Price Index, which measures changes in the average costs of hundreds of items that a household buys, such as food, gasoline, medicine, cars and homes.

State economist Josh Lehner said that the rent increase number is calculated based on a 12-month average.

The past six months have seen a higher rate of inflation, but Lehner said that won’t be fully reflected until next year’s rent increase is calculated.

Oregon rents have climbed steadily over the past 22 years, according to state data, with annual increases fluctuating within a margin of just four percentage points.

The lowest annual increase during that time period was 7.1%, in 2010. And the highest over the past two decades was 11%, in 2002 and again in 2009.

The average rent increase price over that time period is about 9.3%.