Can I charge a non-refundable application fee in Oregon?
No. The only charge allowed is the screening charge under ORS 90.295, capped at the actual average cost of the reports, and refundable in defined situations.
ORS 90.295 - Oregon Rental Application Fees
Short answer
Oregon does not allow a separate 'application fee' on top of the screening charge. Under ORS 90.295, the landlord may only charge an amount up to the actual average cost of obtaining the screening reports, must provide written screening criteria first, and must refund the fee in defined situations. Portland's FAIR rules add a local cap and stricter procedures.
Only the screening charge is allowed
Oregon authorizes a screening charge under ORS 90.295 - not a general 'application fee.' The amount may not exceed the landlord's actual average cost of obtaining credit, criminal, and rental-history reports.
Written criteria before the fee
ORS 90.295(2) requires written notice of the screening charge amount and the screening criteria (credit, income, rental history, criminal history) before accepting any application or fee.
Refund situations - ORS 90.295(4)
The screening charge must be refunded if the landlord fills the unit before screening the applicant, does not in fact run the screening reports, or otherwise fails to follow the statute. Keep dated receipts and refund promptly.
Holding deposits are different - ORS 90.297
An applicant may pay a separate holding deposit to take a unit off the market. Holding deposits are not application fees and have their own disclosure and refund rules under ORS 90.297.
Portland FAIR overlay
Portland's Fair Access in Renting rules cap application screening charges and impose Low Barrier or modified criteria, with stricter timelines and recordkeeping than state law. Both apply within Portland.
Frequently asked
Do Portland rules override state law?
Portland's FAIR rules layer on top of ORS 90.295 and are typically stricter; both apply within Portland.
Can I take a holding deposit?
Yes, under ORS 90.297, with separate written disclosure and refund rules.
How is 'actual average cost' calculated?
Total annual screening vendor costs divided by total applications screened. Document the calculation and recalculate periodically.
Can I keep the fee if the applicant withdraws?
Only if you actually ran the screening before they withdrew. Otherwise ORS 90.295(4) requires a refund.
Source references
- ORS 90.295
- ORS 90.297
- Portland City Code 30.01.086
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Propsistant provides general landlord-tenant information from selected statutes and official sources. It is not a law firm, does not provide legal advice, does not create an attorney-client relationship, and is not a substitute for a licensed attorney in your jurisdiction.