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Rent control in Portland suggests higher property taxes

PORTLAND, Maine —

Rent control has been around in Portland since 2021 but data released this week shows that rent control is raising property taxes in the city.

“Whenever I work with buyers, they look at property taxes that affect their budget,” Aaron Chadbourne with the Greater Portland Board of Realtors said.

Portland rent control laws limit annual increases for tenants. A report done by Wallace Economic Advisors, an economic analysis firm, shows that Portland’s taxable property base has been reduced 3.6% to 5.4% due to rent control.

“I don’t think people were thinking about homeowners when they did these policies,” Chadbourne said.

Now, homeowners in Portland could be paying between $224-$329 more in property taxes. The study shows this could be up to $2,100 more over five years.

“We want to make sure that we’re not putting up barriers to people staying in their homes or barriers to the path for homeownership. When I look at someone who’s renting a home, I don’t see a renter, I see a future homeowner,” Chadbourne said.

Chadbourne added that not only is this challenging for homebuyers, but also for older Mainers who might be on a fixed income when their property taxes go up.

Author: Jackie Mundry

Source: https://www.wmtw.com/article/rent-control-portland-suggests-higher-property-taxes/68045589