Oregon Lawmakers Take Aim at High Rental Fees and Deposits to Ease Housing Struggles
Several Oregon lawmakers have targeted high application fees and deposits- two significant expenses that can prevent renters from finding a new home.
Proposals were presented last week that could:
- Ban landlords from charging screening fees.
- Penalize landlords who take a holding deposit but fail to enter into a lease.
- Allow landlords to charge monthly fees in place of a security deposit.
House Bill 3521: Deposits On Oregon Rental Homes
Rep. Annessa Hartman, D-Gladstone, introduced House Bill 3521 in response to renters who found homes with problems like mold, broken plumbing, or pest infestations yet were told by landlords they would lose their deposit if they didn’t sign a lease, or found landlords accepted a deposit to hold a unit but rented it to someone else.
Landlords have strongly objected to the bill at the House Housing and Homelessness Committee and say it would prevent them from holding a unit for a tenant, or they would be penalized for events outside of their control.
House Bill 2967 Seeks To Ban Application Fees
House Bill 2967 was introduced by Rep. Mark Gamba, D-Milwaukie, to ban landlords from charging screening fees.
While the current legislation forces landlords to refund fees within 60 days if they don’t run a background check, the law is sometimes ignored. Tenants can spend many dollars on screening fees and still not have a new rental home.
Landlords also objected to Gamba’s bill. They say it would be harder for landlords to process applications without application fees, making it more difficult for tenants to find homes.
Lawmakers Propose Monthly Fees To Replace Rental Security Deposit
Senate Bill 158, introduced by Sen. Mark Meek, D-Gladstone, is a way to help renters get their foot in the door by allowing landlords to charge a monthly fee instead of a security deposit. However, the bill has several shortcomings.
For example, it doesn’t cap the total fees charged, and landlords can only keep the fees if a tenant fails to pay rent or damages a unit.