Sunday, March 20, 2016

LEGISLATIVE ALERT: Legal Changes to Rent Increase Notices

Governor Brown signed HB 4143 into Law on March 14th with the effective date for changes to rent increase effective as of April 14th. 

Multifamily NW reported, "Our legal team has determined that the following language is effective for any increase in rent occurring on or after April 14, 2016. If a notice has been sent prior, but the actual increase occurs on or after this date, the new law applies."

  • If the tenancy is a month-to-month ("MTM") tenancy, then no rent increases allowed during the first year after the MTM tenancy begins
    • Should not affect any existing MTM tenancies that have been in existence for a year or more
  • 90 Day Notice required for any rent increases in a MTM tenancy after the first year of the MTM tenancy
    • Rent increase notice must include:
      • The amount of the increase
      • The amount of the new rent
      • The date the increase becomes effective
  • The State statute does not address rent increases at renewal of fixed terms tenancy.
  • In the City of Portland, landlords are required to give 90 days' written notice to tenants when raising rents by 5 percent or more, or when evicting residents without cause. 
  • If landlords don't follow the rules, tenants could be owed "an amount up to three months rent as well as actual damages, reasonable attorney fees and costs," according to city documents.
More information and Multifamily NW's positions on this new Law and other legislative topics addressed at 2016 Short Session Law Changes can be found at Multifamily NW.