Oregon Residential Lease Agreement

Introduction

This comprehensive guide outlines the essential requirements and legal provisions for residential lease agreements in Oregon. The information is compiled from Oregon Revised Statutes (ORS) Chapter 90, which governs the rights and obligations of landlords and tenants in residential rental situations.

Required Disclosures

Oregon law mandates several critical disclosures that landlords must provide to tenants at or before the commencement of a tenancy. These disclosures ensure transparency and protect both parties' rights.

Lead-Based Paint Disclosure

For properties built before 1978, federal law requires landlords to disclose information about lead-based paint hazards. This disclosure must be included in the rental agreement and comply with Title X, Section 1018 requirements.^[1]

Flood Plain Status

If a dwelling unit is located in a 100-year flood plain, the landlord must provide notice in the rental agreement.^[2] A 100-year flood plain is defined as the level that flood waters may be expected to equal or exceed once each 100 years, as determined by the National Flood Insurance Program of the Federal Emergency Management Agency. If a landlord fails to provide this required notice and the tenant suffers an uninsured loss due to flooding, the tenant may recover from the landlord the lesser of the actual damages for the uninsured loss or two months' rent.

Carbon Monoxide Alarms

If there is a source of carbon monoxide on the premises, the landlord must provide a carbon monoxide alarm along with an instructional pamphlet.^[3] If a carbon monoxide alarm is battery-operated or has a battery-operated backup system, the landlord must supply working batteries at the beginning of a new tenancy.

Landlord Identity and Contact Information

The landlord must disclose in writing at or before the commencement of the tenancy the name and address of: (a) the person authorized to manage the premises, and (b) an owner of the premises or a person authorized to act for and on behalf of the owner for the purpose of service of process and receiving and receipting for notices and demands.^[4] This information must be kept current and extends to any successor landlord, owner, or manager. A person who fails to comply becomes an agent of each landlord for service of process and receiving notices.

Legal Proceedings and Foreclosure

Landlords must disclose pending foreclosures or defaults for properties with four or fewer units.^[5] If the tenant moves as a result of a circumstance that the landlord failed to disclose as required, the tenant may recover twice the actual damages or twice the monthly rent, whichever is greater, and all prepaid rent.

Smoking Policy

The lease agreement must include the smoking policy and identify the areas where smoking is allowed.^[6] This requirement ensures tenants understand the smoking rules before entering into the lease.

Recycling Instructions

For multi-family units of five or more units located in an urban growth boundary, landlords must provide annual recycling notices.^[7] The notice must describe the location of receptacles on the premises and include information about how to recycle.

Security Deposits

Maximum Amount

Oregon has no statewide maximum security deposit amount.^[8] However, in Portland, the maximum is equal to one month's rent, or one-half of one month's rent if the last month's rent is required. Tenants who pay security deposits must receive a receipt, and the written rental agreement must list the security deposit amount.

Portland-Specific Requirements

Landlords in Portland must also disclose to tenants the name and address of the bank where the security deposit funds are being held.^[8]

Return Timeline

Security deposits must be returned within 31 days after the tenancy terminates.^[8] Within this timeframe, the landlord must either return the full security deposit or provide the tenant with a written statement detailing deductions along with any remaining deposit funds.

Permitted Deductions

Landlords may withhold funds from the security deposit for unpaid rent, other lease breaches, and damages beyond ordinary wear and tear.^[8] All deductions must be itemized in a written statement delivered to the tenant. If a landlord wrongfully withholds any portion of a security deposit, the tenant may recover up to twice the amount of the security deposit.

Rent Payment Terms

Grace Period

Oregon law mandates a 4-day grace period for rent payments.^[9] Tenants cannot be charged a late fee until the rent is four days overdue. If rent is due on the first of the month, late fees cannot be charged until the fifth day.

Late Fees

Under ORS 90.260, landlords may impose one of three late fee structures:^[9] (1) A reasonable flat fee specified in the rental agreement, (2) A daily fee that cannot exceed 6% of the monthly rent in total, or (3) A percentage-based fee capped at 5% of the monthly rent as a one-time charge, or 5% of the periodic rent payment amount, charged once for each succeeding five-day period (or portion thereof) for which the rent payment is delinquent, beginning on the fifth day. Late fees require a written rental agreement that specifies the tenant's obligation to pay a late charge, the type and amount of the late charge, and the dates on which rent and late charges become due. Landlords must choose only one fee structure and apply it consistently.

Dishonored Check (NSF) Fees

For dishonored checks, landlords may charge up to $35 plus any bank fee the landlord was charged for processing the dishonored check.^[10] This applies only to checks dishonored due to lack of funds or credit, no account with the drawee, or stopped payment without good cause. The base fee is established in ORS 30.701(5) and referenced in ORS 90.302 for landlord-tenant situations.

Landlord Fees

A landlord may require payment of a fee only if the fee is related to and designated as being charged for a specific reasonably anticipated landlord expense.^[11] The landlord must provide a receipt for the fee, and the receipt or written rental agreement must describe the anticipated landlord expense to be covered by the fee. If a landlord charges a tenant a fee in violation of this section, the tenant may recover twice the actual damages or $300, whichever is greater.

Landlord's Right to Enter

Standard Notice Requirement

Unless there is an agreement between the landlord and tenant to the contrary, the landlord must give the tenant at least 24 hours' actual notice of the intent to enter, and the landlord or landlord's agent may enter only at reasonable times.^[12]

Emergency Entry

In case of an emergency, a landlord may enter the dwelling unit without consent of the tenant, without notice, and at any time.^[12] If a landlord makes an emergency entry in the tenant's absence, the landlord must give the tenant actual notice within 24 hours after the entry. This notice must include the fact of entry, the date and time of entry, the nature of the emergency, and the names of the persons who entered.

Tenant-Requested Repairs

If the tenant requests repairs or maintenance in writing, the landlord or landlord's agent may enter upon demand, without further notice, in the tenant's absence or without the tenant's consent, for the purpose of making the requested repairs until the repairs are completed.^[12]

Tenant's Right to Deny Entry

The landlord or landlord's agent may not enter if the tenant, after receiving the landlord's notice, denies consent to enter.^[12] The tenant must assert this denial by giving actual notice to the landlord or by attaching a written notice of denial in a secure manner to the main entrance prior to or at the time of the attempted entry.

Lease Termination

Month-To-Month Tenancies - Tenant-Initiated

Tenants may terminate a month-to-month tenancy with 30 days' written notice.^[13]

Month-To-Month Tenancies - Landlord-Initiated

The notice period for landlord-initiated terminations depends on how long the tenant has lived in the property:^[13] During the first year of occupancy, landlords may provide 30 days' notice to terminate if the tenant has lived in the property for under 12 months. After the first year of occupancy (12 months or longer), the landlord must have just cause to terminate and must provide 90 days' notice. The landlord may terminate a month-to-month tenancy by giving the tenant written notice not less than 90 days prior to the termination date for qualifying landlord reasons such as demolition, renovations, or landlord/family occupancy.

Week-To-Week Tenancies

For week-to-week tenancies, either the landlord or tenant may terminate the tenancy by written notice given to the other at least 10 days before the termination date.^[13]

Local Variations

In Portland and Milwaukie, 90 days' notice is required instead of 30 days for certain types of terminations.^[13]