Find out what’s happening in the Portland rental market for early October 2024.
Hi, I’m Coty Thurman, Principal Broker and Vice President of Living Room Property Management here to tell you what you need to know about the Portland rental market for early October 2024.
2025 Rent Increase Cap
Oregon’s 2025 rent increase cap is out, and it’s holding steady at 10% (9.9% in Portland). No big surprises here—it’s the same as last year. It may not seem exciting, but in a market where things can change quickly, a little predictability is welcome for both landlords and tenants. Keeping things status quo isn’t the worst news.
Now, onto the bigger picture. According to the 2024 ‘Baselane’ Real Estate Investor Survey, investors are optimistic but cautious. Vacancy concerns? Down. Over 52% of investors are less worried about vacancies because rental demand is still strong. The real headache? Home prices and financing. According to the National Association of Realtors, home prices jumped 4.2% year-over-year…a term coined “equity” for those playing the game and “impossible” for those who have not entered the housing market.
Institutional Investors vs Mom and Pop Owners
This brings us to a key difference in the market: large institutional investors vs. mom-and-pop landlords.
The big guys—those institutional investors—are still excited, snatching up nearly 19% of U.S. homes sold in Q1 of this year. They’ve got the resources to ride out the challenges and turn a profit.
But let’s talk about the mom-and-pop owners—the ones we work with at Living Room. These folks make up a lot of the single-family inventory. Many are holding onto their golden 3% interest rates, but they’re being hit hard by rising costs of insurance, taxes, and maintenance. Regulations make it tough for them to sell or even move back into their own homes when a tenant’s lease is up.
Honestly, I get it—this $**t is tough, but for those who can hold on, there’s still a lot of potential for long-term equity growth and the single-family tenant market is not going away.
What About Renters?
On the renter side, the number one question I hear is: “How hard is it to find a home right now?” If you’re looking for a 2-3 bedroom single-family home with a yard under $3K, buckle up. Even homes on busy streets are going fast with multiple applications. But if you’re open to an apartment or privately-owned condo, you’re in luck. Inventory is solid, and there are some great concessions out there.
It reminds me of the early 2000s when we were giving away two months of free rent and our fingers were in knots after putting another epic balloon bouquet on the street corner luring people in for an apartment tour.
To wrap things up: whether you’re an investor or a mom-and-pop owner, now’s the time to evaluate your strategy. Being a landlord in today’s market isn’t for everyone, but for those who stick it out, there’s plenty of opportunity.
Make A Move
If you need help navigating these choppy waters, Living Room Property Management is here to help smooth out the seas, call us today.
