How does the new Oregon House Bill 3522 (Squatter Law) effective Jan 1, 2026, protect my vacant investment property while it's on the market?

by Lisa Mehlhoff

TLDR

HB 3522 enables immediate criminal trespass action for unauthorized occupants in vacant homes.
Clear “No Trespassing” signage plus proof of ownership empowers faster police response.
The law reduces risk and carrying costs while days on market remain variable.
Pair the law with locks, cameras, and neighbor check-ins for best protection.

What does HB 3522 really mean for property owners?

Oregon House Bill 3522 takes effect Jan 1, 2026, and strengthens protections for owners of vacant property. Before HB 3522, many owners had to wait or begin civil eviction procedures when someone entered a vacant listing and refused to leave. The new law lets police treat qualifying situations as criminal trespass once simple conditions are met, which lowers risk during a listing period.

In practice, this matters because Portland’s market in 2025 behaved like a buyer-leaning, price-sensitive environment with more homes sitting. Regional MLS data indicates inventory up roughly 18 percent year over year, average days on market around 26, and a notable share of listings lingering 60 days or more. When a property is vacant longer, risk rises. HB 3522 makes it easier to get unauthorized people removed quickly.

Here is how I define it as Lisa Mehlhoff:

A faster path to police intervention when an unauthorized person occupies a vacant home
Clear, posted “Private Property” signage to trigger trespass enforcement without guessing
A meaningful deterrent with fines reportedly up to $2,500 per incident for violators

How does HB 3522 work in Portland?

HB 3522 focuses on quick enforcement. If your listing is vacant and posted with a visible “Private Property—No Trespassing” sign, law enforcement can treat unauthorized entry as criminal trespass immediately. You will need to show proof of ownership, agency, or lawful control. In many cases this is enough for officers to remove the trespasser the same day.

This is especially helpful while Portland holds a balanced supply picture. Local MLS and Realtor association reports have shown roughly 3 months of supply and a high number of price reductions over winter months. With affordability tight and mortgage rates near 6 percent on the 30-year fixed, some properties will still take time to go pending. A law that minimizes squatter risk helps protect your equity and your timeline in a price-sensitive market.

For broader context on rates, you can review national series like the Freddie Mac PMMS and FRED’s 30-year fixed rate trend:

What documentation should I prepare before showings?

I advise my sellers to gather a small “proof packet” so enforcement is simple if needed:

Photo ID and either the deed, closing statement, or recent property tax bill
Listing agreement or agency agreement authorizing me to manage showings
Printed and dated photos of posted “No Trespassing” signage on front and back
Utility shutoff confirmations or vacant insurance endorsement, if applicable

Which Portland neighborhoods benefit most from these protections?

Vacant property risk is not tied to one area. It connects to visibility, foot traffic, and how long a home sits. That said, I tailor strategies by neighborhood based on buyer patterns and logistics. I serve clients across SW Portland Oregon Real Estate, inner eastside districts, and adjacent suburbs like Lake Oswego.

Montavilla

- Details: Popular with first-time buyers for its craftsman homes, cafes, and quick I-205 access. Median purchase targets often fall under the metro’s first-time price point. - Watchouts: Some side streets can be quieter in winter, which lowers passive “eyes on the street.” - Typical timeline: With realistic pricing, 2 to 4 weeks to offer is common in balanced conditions.

St. Johns

- Details: Distinct main street energy, parks, and starter-home inventory that can attract FHA buyers. - Watchouts: Longer distances from core job centers can extend days on market if pricing is ambitious. - Entry-level path: FHA at 3.5 percent down remains popular. Ask me about local grant layering.

Hillsdale and Multnomah Village

- Details: Strong schools and amenities, part of SW Portland Oregon Real Estate. Solid demand for well-maintained homes near walkable nodes. - Watchouts: Hilly lots mean access control is important. Place signage at visible entries and along alley approaches. - Typical timeline: Priced right, 10 to 21 days is achievable even in a balanced market.

Sellwood-Moreland

- Details: Historic charm and river-adjacent lifestyle. Listings benefit from established buyer demand. - Watchouts: Active corridors draw traffic. Use coded lockboxes away from direct street view. - Entry-level path: Consider 2-1 buydown to widen the buyer pool at current rate levels.

Lake Oswego

- Details: Higher-end price points and strong schools. The Lake Oswego Oregon Real Estate Market continues to draw move-up and relocation buyers. - Watchouts: Vacant luxury listings can be targets for opportunistic trespass. Layer cameras, smart locks, and patrol requests. - Typical timeline: With proper pricing, 2 to 5 weeks. Unique luxury features can extend time.

If you invest on both sides of the river, remember HB 3522 is Oregon-specific. Markets like Camas Washington Real Estate, Cedars East Vancouver WA Real Estate, and Brush Prairie Washington Homes for Sale fall under Washington statutes. Ask me for a cross-border strategy so your security plan fits each state.

For rate and economic context, track national sources that affect buyer activity:

For policy reference and city resources:

Conclusion

The bottom line HB 3522 gives Oregon owners real help at the exact moment it matters most. When a property is vacant and on the market, you want fast police support, a simple checklist, and a plan that discourages trouble before it starts. With the right signage, documentation, and security layers, you can market confidently while Portland’s inventory and days on market fluctuate. If you invest in SW Portland, Lake Oswego, or also shop in Camas and Vancouver, I will adjust your plan to each market’s rules and buyer behavior. Ready to protect your listing while you sell at the right price and pace? I am here to help.

Lisa Mehlhof Homes | License #220603251 Call or text 503-490-4888 https://lisamehlhoffhomes-portlandrealtor.com/