However, the renter is going to increase his rents 10 percent a year, even when he doesn’t have to, to accommodate sudden increases in costs in future years.
The property owner will increase rents as much as he can but the market sets the upper limit on increases. I have been appraising income properties for a couple of decades and in the market where I work have never seen rental rates for any type of property approach ten per cent per year. The Oregon limits would only be harmful to landlords in the event of extreme inflation which would be catastrophic to the overall economy or in the event of local disasters— natural or man- made- that would take a significant number of units out of inventory. Both scenarios are unlikely.