Oregon Mortgage Guide 2026
This Oregon mortgage guide covers everything you need to know about getting a mortgage in Oregon — loan limits by county, available programs, property taxes under Measure 50, closing costs, and how the Oregon housing market affects your financing options.
Oregon Loan Limits by County (2026)
Conforming loan limits determine the maximum loan amount eligible for conventional financing through Fannie Mae and Freddie Mac. In Oregon, the conforming limit is uniform statewide — no county reaches the high-cost ceiling. FHA loan limits, however, vary meaningfully by county based on local median home prices.
| County | Conforming Limit | FHA Limit | Notes |
|---|---|---|---|
| Multnomah, Washington, Clackamas, Columbia, Yamhill (Portland metro) | $832,750 | $701,500 | Portland-Vancouver-Hillsboro MSA |
| Deschutes, Crook, Jefferson (Bend metro) | $832,750 | $718,750 | Bend MSA |
| Hood River County | $832,750 | $762,450 | Highest FHA limit in Oregon |
| Benton County (Corvallis) | $832,750 | $615,250 | Corvallis MSA |
| Clatsop County (Astoria) | $832,750 | $563,500 | Astoria MSA |
| Lane County (Eugene) | $832,750 | $541,287 | National floor |
| All other Oregon counties | $832,750 | $541,287 | National floor |
Oregon’s conforming limit doesn’t change by county — its FHA limit does. Unlike some states, no Oregon county qualifies for the FHFA high-cost conforming ceiling, so the $832,750 conventional limit applies everywhere. FHA limits are a different story: five metro areas (Portland, Bend, Hood River, Corvallis, Astoria) sit above the $541,287 national floor. Always verify your specific county at HUD’s official FHA limit lookup tool.
Loan Programs Available in Oregon
All major federal mortgage programs are available statewide in Oregon. Here’s how each compares for Oregon buyers:
| Program | Min Down Payment | Min Credit Score | Best For |
|---|---|---|---|
| FHA | 3.5% | 580 | First-time buyers, lower credit scores |
| VA | 0% | 580–620 (lender overlay) | Veterans, active duty, National Guard, surviving spouses |
| USDA | 0% | 640 | Rural/suburban buyers who meet income limits |
| Conventional | 3–20% | 620 | Strong credit, wants to avoid lifetime MIP |
| Jumbo | 10–20% | 700+ | Purchases above conforming limits |
| OHCS Bond Residential Loan | As low as 0%* | Varies by lender overlay | First-time buyers using OHCS down payment assistance |
*With Oregon Flex Lending down payment assistance layered onto an FHA or conventional base loan.
Oregon Housing and Community Services (OHCS) Programs
Oregon Housing and Community Services is the state’s housing finance agency. Its flagship first-time buyer product is the Oregon Bond Residential Loan, offered exclusively through OHCS-approved participating lenders.
OHCS Loan Types
| Program | Who Qualifies | Key Feature |
|---|---|---|
| Cash Advantage | First-time buyers (or none in past 3 years, waived in targeted areas) | Low fixed rate plus 3% of loan amount for closing costs |
| Rate Advantage | First-time buyers | Lowest available fixed rate; no cash assistance |
| Oregon Flex Lending | Low-to-moderate income borrowers, first-time or repeat | 4%–5% down payment assistance as a silent forgivable or repayable second lien |
Oregon Down Payment Assistance
OHCS’s Cash Advantage option provides cash assistance equal to 3% of the loan amount for closing costs (this cannot be applied toward an FHA minimum down payment). The separate Flex Lending program layers a second mortgage of 4%–5% of the first mortgage amount, structured as either a forgivable or repayable loan. Buyers in Portland may also qualify for the city’s own down payment assistance program.
Income and purchase price limits apply and vary by county. OHCS sets separate income limits for “targeted” and “non-targeted” areas, and these limits are updated periodically. Because these figures change, always verify current income and purchase price limits directly at oregon.gov/ohcs or with an OHCS participating lender before assuming eligibility.
Property Taxes in Oregon
Oregon’s average effective property tax rate is approximately 0.81% of assessed value — slightly below the national average. Unlike many states, Oregon’s property tax system is built around Measure 50, a 1997 ballot measure that decouples your taxable “assessed value” from your home’s actual market value.
Key rule — Measure 50: A home’s assessed value cannot increase by more than 3% per year (barring major improvements, new construction, or rezoning), regardless of how fast its real market value rises. This means two identical homes purchased years apart can have very different tax bills, since the more recently purchased home’s assessed value has had less time to diverge from market value.
| Home Value | Est. Annual Tax (0.81%) | Monthly Escrow |
|---|---|---|
| $350,000 | ~$2,835 | ~$236/mo |
| $450,000 | ~$3,645 | ~$304/mo |
| $550,000 | ~$4,455 | ~$371/mo |
| $700,000 | ~$5,670 | ~$473/mo |
Rates vary by county and district. Multnomah County runs higher (~0.96%) while Deschutes County runs lower (~0.58%). The 0.81% figure above is a statewide effective average — verify parcel-specific rates and your home’s actual assessed value (not just its market value) with your county assessor before finalizing your budget.
Closing Costs in Oregon
Oregon closing costs typically run 2%–3% of the purchase price for buyers. Oregon prohibits local real estate transfer taxes statewide, with one notable grandfathered exception — Washington County. Examples below assume a $550,000 purchase with 5% down (a $522,500 loan).
| Fee | Rate / Amount | On a $550,000 Purchase |
|---|---|---|
| Loan origination fee | 0.5–1% of loan amount | ~$2,600–$5,225 |
| Appraisal | $500–$1,000+ (higher for unique properties) | $500–$1,000 |
| Title insurance (combined search + policy) | Based on loan/purchase amount | ~$1,000 |
| Escrow / settlement fee | Usually split with seller | $500–$2,000 |
| Recording fees | County-specific | $100–$300 |
| Transfer tax | None in most counties; Washington County charges $1/$1,000 of selling price | $0 (most counties) / ~$522 (Washington County) |
Washington County is the exception to Oregon’s no-transfer-tax rule. Oregon law (ORS 306.815) generally bars local transfer taxes, but grandfathers in any tax already in effect before March 31, 1997. Washington County’s tax predates that cutoff and remains in force at $1 per $1,000 of selling price. If you’re buying in Washington County (Hillsboro, Beaverton, Tigard, and surrounding areas), budget for this — it does not apply anywhere else in Oregon.
Oregon Housing Market Overview (2026)
Oregon’s housing market in 2026 is best described as slow and calm, with modest statewide price appreciation of under 1% year-over-year following a period of cooling in the state’s largest metro. Portland has seen a slight year-over-year price decline, while Bend remains one of the state’s most expensive markets despite its own modest pullback. Inventory has generally improved from the tight conditions of recent years, giving buyers more negotiating room in most metros.
| Area | Median Price (Est.) | Market Trend | Key Notes |
|---|---|---|---|
| Portland Metro | ~$534,700 | Slightly declining | Largest market; down ~1.7% YoY; homes selling in ~14 days |
| Bend | ~$724,600 | Roughly stable | Most expensive major market; strong sale-to-list ratio near 99% |
| Eugene | ~$479,900 | Stable | Willamette Valley market; near statewide median |
| Salem | ~$450,000 | Stable | More affordable than Portland; state capital market |
| Medford | ~$429,000 | Stable | Among Oregon’s more affordable metro markets |
