Q: My lease says if I do not renew at the end of term, the rent will increase by over 10%. Is this legal in Oregon?
My landlord sent me a renewal offer letter on 9/17/20, 90 days before lease expiration, that gives several lease term options to choose from. The 12-month term renewal option comes with a rent increase of just 1.98%. However, the shorter-term lease options, as well as the month-to-month option, all come with an increase that is well over the 9.9% increase cap for Oregon. The lease agreement also states that if we choose to go month-to-month after our original lease term is up, the rent will increase by $500.
A: I would want to review the lease carefully, and understand the circumstances fully before opining with authority but while the rent cap statute is not fully clear, I think it does prohibit raises over 9.9% in 12 months, assuming the other statutory exemptions do not apply, regardless of changes in the types of tenancy. If this becomes an issue, you may wish to review everything with a local landlord-tenant attorney. Good luck.
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