There are many factors to consider if you’re deciding whether to invest in a Portland rental property. You must estimate whether your rental property will have the demand to avoid vacancy periods and protect your ROI. You also want to ensure that the area will remain economically stable enough to support your desired rental rates. With so many options to weigh, you might wonder whether investing in a Portland rental property is a good idea. At Rent Portland Homes by Darla Andrew, our years of experience in the Portland rental market have given us the knowledge to answer that question with a resounding yes!
Here’s everything you need to know about why Portland is a great place to invest in a rental property, and how to move forward with getting started.
Tight Rental Market
When you invest in a rental property, you want to be sure that the demand for housing in the area will keep your rental profitable. Luckily, a rental sitting vacant due to lack of demand is rarely a problem for Portland landlords. Our highly desirable city means we experience consistently high occupancy rates, making available rental properties a hot item year-round. This helps you avoid the financial burden of a vacant property, and can help you set competitive rent prices.
The best places to invest in a rental property are always those with steady growth rates. Portland is considered a smaller city, with an estimated population of 646,396 in 2022. That being said, it’s still one of the largest metropolitan areas in the Pacific Northwest. When you consider the population of the Portland metro area, those numbers are far higher. 2,197,000 people live in the smaller cities close to Portland, and as those neighborhoods grow they are also becoming attractive options for rental properties. Portland’s population has grown at approximately 1 percent per year, a healthy growth rate that allows for steady, stable expansion.
The past few years have been a rollercoaster for cities across the country and the world, and Portland is certainly no different. The COVID-19 pandemic certainly threw some curveballs, but the Portland adapted with aplomb. Because out city enjoys a wide distribution of job sectors, its economy is far more resilient than a city dependent on a single industry. Portland’s primary employment sources are technology, healthcare, and education, all of which are resistant to economic downturns. This means that even in the case of an economic slowdown, your tenants are more likely to weather the storm and keep your rental profitable.
A Desirable Area
The west coast has always boasted a special glamor. From the days of the Oregon Trail, people have long since been making their way to this side of the country, chasing the promise of fulfillment and beauty. In the modern day, people are still drawn to our area’s sparkling natural beauty and wide selection of amenities. In many ways, Northern Oregon is a dream come true for lovers of the outdoors. Portland is within an hour’s driving distance of either the mountains or the ocean, with sprawling temperate rainforests and extensive hiking trails. You can also access plenty of river recreation, from fishing to boating to floating down the Willamette on a warm summer day. Portland’s surrounding countryside also boasts a wide swath of award-winning vineyards, which make for a lovely meandering day trip. Our area’s natural beauty means Portland is a very eco-friendly city: a huge draw for sustainably-minded renters.
A Long-Term Investment
When you invest in a rental property, you need to keep a weather eye on how your rental will perform in the long term. Luckily Portland is an excellent area to invest in a rental property that will increase in value for years. Appreciation of property values is essential in determining whether an area will make a good long-term rental investment. According to Zillow, home values in Portland have appreciated by 9.2% since early 2022. This gives you the confidence that your property will hold its value alongside the income you make from your rent.
Should You Invest in a Portland Rental Property?
As with any rental property, you should first educate yourself on the laws and regulations specific to our state and city. Portland renters enjoy many legal protections from state and local legislature, and landlords must navigate these requirements carefully. While keeping up to date with changing legislation can add an additional workload to your plate, the ultimate effect of these regulations is positive for both managers and renters. They provide structure for tenant-landlord interactions so you can avoid running into potential legal issues that crop up without stricter guidelines.
Portland’s climate is another unique facet of our area. You should research the types of seasonal maintenance you must perform to keep rentals well-maintained during our long rainy season.
Certainly, Portland is a wonderful city to invest in a rental property. But as is the case in any area, running a rental can take a lot of work. If you want to reap the benefits of a Portland rental property but aren’t certain you want to take on the burdens that property management can entail, Rent Portland Homes is here to help.
Invest in a Portland Rental Property with the Experts
With Rent Portland Homes by Darla Andrew, you’ll have a team of experts at your back when you start your journey in Portland’s rental market. We help with the parts of property management that many people find time-consuming and stressful, from screening potential renters, handling tenant communications swiftly and professionally, managing rent collection, and addressing legal issues. In addition, we take care of any seasonal maintenance and repairs your rental might need promptly with our highly skilled contractors. You’ll never need to struggle to finish a repair on time or wrangle unreliable contractors again. With Rent Portland homes, investing in a Portland rental property is a no-brainer.