Are you considering moving to Portland, Oregon? Before you relocate, it’s important to understand the current property tax rates in Portland’s urban and suburban areas. 

Portland’s county seat is Multnomah County, with a county population of just under 800,000. Portland is a thriving city in the Pacific Northwest. The city offers residents abundant bike trails, lush parks, arts and culture, and a delicious food and drink scene. 

According to Redfin, the Portland real estate market ranks ‘somewhat competitive.’ Currently, most homes sell for 3% above the list price, and some get multiple offers. The median sale price is $510,000, a 6% increase compared to 2024. 

2025 Portland property tax rates

Considering a move to Portland? Beyond its vibrant culture and stunning scenery, understanding property taxes is key. Currently, Portland’s rates hover around 1.08%, about 6% higher than the national rate and nearly 26% higher than Oregon’s average.

Keep in mind that combined rates can include various taxing authorities. However, in Portland specifically, residents can anticipate paying approximately the following city tax rates:

  • City of Portland Limited Rate: $8.5781 per $1,000 of assessed value
  • City of Portland Bond Rate: $0.3875 per $1,000 of assessed value

While these figures might seem high, remember a significant benefit: Portland has no sales tax. This means you won’t pay extra tax on anything you purchase in Oregon—a definite perk to consider!

What do property taxes in Portland, OR fund?

Your property taxes in Portland contribute to vital public services that enhance the quality of life. These funds support everything from maintaining regional water quality and beautiful parks to operating libraries and developing affordable housing initiatives.

What factors influence property taxes in Portland?

Don’t be surprised if your tax bill looks different from your neighbor’s, even if your properties seem similar. This can happen due to:

  • Differences in Property Value: Generally, a higher assessed or real market value means higher taxes. This could be due to improvements you’ve made or inherent differences in size, lot, condition, or construction quality.
  • Exemptions: Your neighbor might have a property tax exemption.
  • Different Levy Code Areas: Even properties close by can sometimes fall into different tax districts.

Additionally, unlike the 3% limit on the Maximum Assessed Value, your actual tax amount isn’t capped at a 3% annual increase. Several factors can lead to a larger jump, including changes in your Levy Code Area’s tax rate, the loss of “compression savings,” or specific “exception events.”

How are Portland taxes calculated?

Portland calculates your property tax in two ways, and you pay the lower amount.

  1. First, they multiply your Assessed Value by your Levy Code Area’s tax rate and add any Special Assessments. You can find this information on your tax bill and the county’s rate sheet.
  2. Second, they multiply your Real Market Value (RMV) by Measure 5 limits ($5/$1,000 for education, $10/$1,000 for general government) and add exempt items like voter-approved bonds.

Ultimately, your bill reflects the lower of these two calculations, balancing assessed value and Measure 5 limits. Check your tax bill or contact Multnomah County for the specific details of your levy code area.

Limited rates vs. bond rates in Portland, OR

Your Portland property tax has two main parts: a limited rate and sometimes a bond rate.

The limited rate covers the regular costs of things like schools and city services. There’s a limit on how high this rate can go, thanks to something called Measure 5.

The bond rate is different. It’s a separate tax that voters approve to fund specific, big projects like new buildings. Money from this tax can only be used for what the voters agreed to. Importantly, bond rates are not limited by Measure 5.

So, the limited rate is for the everyday stuff and has a cap, while the bond rate is for special projects approved by voters and doesn’t have the same cap.

Portland neighborhoods and lifestyle

Portland has over 90 neighborhoods spread throughout the six main quadrants. Each community offers locals unique stores, incredible restaurants, verdant parks, and plenty of ways to get around. 

According to Travel Portland, here are the most popular neighborhoods in each quadrant: 

  • North Portland: Mississippi, St. Johns, Williams
  • Northeast Portland: Lloyd, Hollywood, Cully
  • Northwest Portland: Nob Hill, Pearl District, Old Town Chinatown
  • Southeast Portland: Hawthorne, Belmont, Sellwood-Moreland
  • Southwest Portland: Downtown, Goose Hollow, Multnomah Village
  • South Portland: Willamette River, Waterfront

Portland metro schools

There are four school districts in Portland with around 44,000 students. Local children can attend one of the 86 public schools in the area. The high school graduation rate is 85%. 

Portland attractions

If you’re looking for nature, Portland’s top attractions have you covered. According to TripAdvisor, must-see parks and gardens include the International Rose Test Garden, the Portland Japanese Garden, Washington Park, and the Lan Su Chinese Garden. 

River cruises, brewery tours, and concerts are also popular Portland attractions. 

Portland transportation

Portland has wonderful transportation options to help locals get around. Portland’s transportation system is top-notch, from protected bike lanes to walkable bridges to streetcars and light rails. 

Portland living and property taxes

While Portland’s property tax rates are notably higher than both state and national averages, the absence of sales tax and the funding of essential community services offer a unique fiscal landscape for residents. Understanding these nuances, alongside the competitive real estate market and appealing lifestyle, provides a comprehensive picture for anyone considering making Portland their home.

Elevate your listing with Portland real estate photography

Showcasing your Portland property effectively is key in this market. High-quality visuals are essential to attract buyers. Need professional real estate photos in Portland? Virtuance offers expert photography services that highlight your property’s unique appeal. Beyond stunning images, you’ll receive a dedicated listing website and access to marketing tools. Let Virtuance help your Portland listing shine and capture buyer attention—schedule a shoot today!

FAQ

Portland’s property tax rates currently hover around 1.08%.

No, Portland does not have a sales tax, which can offset higher property taxes.

Portland calculates your property tax using two methods based on assessed value and real market value, and you pay the lower amount.

Property taxes in Portland fund essential public services like water quality, parks, libraries, and affordable housing.

No, unlike the assessed value, the actual property tax amount isn’t capped at a 3% annual increase.