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Forest Grove, Oregon

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Forest Grove

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Forest Grove, OR

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STR Regulations for Forest Grove, Oregon

Note: Based solely on the provided content, there is no city-specific short-term rental program or permitting scheme identified for Forest Grove, OR. The primary regulatory signal comes from Washington County, which—per the county’s official planning page—currently does not regulate short-term rentals in unincorporated areas. You are still responsible for complying with any applicable state-level obligations and general laws (zoning, building, fire, safety, and tax). If the city later adopts rules, those would supersede this county-level baseline.

  • Are STRs allowed in Forest Grove, OR? Yes. Short-term rentals are allowed in the Forest Grove area; there is no active local (city or county) licensing or permitting requirement as of the latest county position, which explicitly states short‑term rentals are not regulated in Washington County. However, if you are inside the Forest Grove city limits and the city enacts a local ordinance in the future, that ordinance would control for properties within the city.

  • County-level status (Washington County): As of the county’s current position, short‑term rentals are not regulated; the county has studied STR issues but did not fund or adopt an ordinance in the 2023–25 work program due to funding constraints.

  • State-level context (Oregon): Oregon does not have a statewide short-term rental license or permit regime; local governments (cities/counties) set the rules. Hosts must still meet general state-level obligations such as collecting and remitting the state transient lodging tax (often handled by platforms), as well as complying with health and safety requirements that apply to all rentals (e.g., smoke alarms; carbon monoxide alarms where applicable). Confirm current Oregon Department of Revenue rules and procedures for transient lodging tax registration and filings.

Key caveat for investors: Because there is no active local STR program in unincorporated Washington County, the regulatory baseline is comparatively light. That can change if Forest Grove or Washington County adopts an ordinance; monitor local code updates. Additionally, property‑specific restrictions (zoning, HOA/CC&R rules) can apply.

How to Start a Short-Term Rental in This Market

  • Step 1: Confirm your jurisdiction and zoning

    • Determine whether your property is inside the City of Forest Grove limits or in unincorporated Washington County. Only Forest Grove city properties could later be subject to city‑specific STR rules; unincorporated properties currently operate under county policy (no STR regulation).
    • Verify zoning permits residential short‑term rental use at your address. If you are in an HOA or planned community, review covenants that may restrict STRs.
    • Confirm utility, parking, and site constraints (e.g., septic, driveway space).
  • Step 2: Build a compliance and operating framework

    • Establish business registration (as applicable for your entity) and obtain any needed tax accounts (see “Required Documents, Permits, Licenses, and Guidelines”).
    • Align the property with health and safety requirements applicable to rentals (working smoke alarms; carbon monoxide alarms where required).
    • Create a standard operating procedure (SOP): guest communications, check‑in/out, cleaning standards, noise and parking rules, emergency contact, and incident response.
    • Set up tax tracking and remittance systems. If you rely on platforms (e.g., Airbnb/Vrbo) to collect and remit taxes, verify coverage for your jurisdiction and maintain records for reconciliation.
  • Step 3: Prepare the property

    • Install and test smoke detectors in each sleeping room and common areas; add carbon monoxide detectors where required.
    • Provide fire extinguishers, clear egress routes, posted emergency information, and basic first‑aid supplies.
    • Post house rules that reflect community norms (quiet hours, trash/recycling instructions, parking restrictions, occupancy limits).
    • Standardize cleaning, restocking, and turnover processes to protect your property and guest ratings.
  • Step 4: Marketing and launch

    • List on platforms only after confirming you meet zoning and any HOA requirements.
    • Include accurate capacity, location, and contact information; avoid misleading claims about occupancy or amenities.
    • Build a “good neighbor” communication channel so nearby residents can reach you or your local contact promptly.
  • Step 5: Ongoing compliance and monitoring

    • Track state lodging tax remittance and any local taxes if applicable.
    • Retain guest, booking, and payment records for audit purposes.
    • Monitor Forest Grove and Washington County channels for any future STR ordinance adoption, fee changes, or enforcement updates.

What do Airbnb hosts actually earn in Forest Grove?

Forest Grove hosts earn a median $20,296/year with $146 ADR and 51% occupancy.

Top performers pull in $30,970+ per year.

See the full Forest Grove market breakdown

Required Documents, Permits, Licenses, and Guidelines

  • Jurisdiction confirmation

    • Written confirmation that the property is inside the City of Forest Grove or in unincorporated Washington County. If within the city, check with the city for any future STR registration/permit requirements.
    • Zoning verification allowing short‑term rental use.
  • Business and tax accounts

    • Business registration (as applicable for your entity structure).
    • State transient lodging tax registration with the Oregon Department of Revenue if you collect rents directly or are otherwise required to collect/remit state lodging taxes. If you rely on platforms for tax collection, verify their coverage and document any platform‑collected amounts.
  • Health and safety compliance

    • Smoke alarms and carbon monoxide alarms as required by state law and local code.
    • Fire extinguisher(s) and clearly posted emergency information (address, emergency contacts, egress routes, maximum occupancy).
    • A local contact accessible to guests and neighbors.
  • Internal compliance documentation

    • Guest rules/house rules, occupancy limits, quiet hours, parking instructions.
    • Guest communications SOPs and incident response plan.
    • Guest and booking record retention (for tax reconciliation and enforcement inquiries).

Note: Based on the provided content, there is no active city or county short‑term rental permit or license required in Forest Grove/Washington County as of the latest county statement.

Specific Regulations: City, County, and State

  • City of Forest Grove

    • No city‑specific STR program or ordinance was found in the provided content. If the city adopts an STR ordinance in the future, it could impose permits, fees, occupancy limits, safety requirements, and compliance obligations. Monitor city channels for updates.
  • Washington County (Unincorporated Areas, Including Unincorporated Forest Grove)

    • Short‑term rentals are not regulated in Washington County. The county studied potential regulations and considered a licensing program but did not fund or adopt an ordinance in the 2023–25 planning cycle due to cost and General Fund constraints.
    • Source: Washington County “Short‑term Rentals” page, which explicitly states “Short‑term rentals are not regulated in Washington County.” (www.washingtoncountyor.gov/lut/short-term-rentals)
  • State (Oregon)

    • Oregon does not have a statewide short‑term rental license. Local jurisdictions set rules.
    • State lodging tax obligations apply; platforms may collect and remit, but hosts must ensure compliance and maintain records.
    • General health and safety requirements that apply to all rentals (e.g., smoke alarms; CO alarms where applicable).
  • Neighboring Context (Informational Only)

    • Hillsboro, a nearby city in Washington County, revised its STR code to streamline permitting and adjust fees/notice requirements. This demonstrates how neighboring jurisdictions can evolve and provides context for investors evaluating the regional market. It is not binding on Forest Grove or unincorporated areas. Source: Forest Grove News‑Times article (forestgrovenewstimes.com/2024/02/22/hillsboro-eases-regulations-for-airbnb-other-short-term-rentals/).

Important note on provided sources: One source in the content set references Washington State (RCW 64.37) and is not applicable to Oregon. Do not rely on that document for Oregon rules.

Contact Information

  • Washington County Planning (STR inquiries for unincorporated areas)

    • Community and Transportation Planning
    • Email: lut @ co.washington.or.us (mailto:lut@co.washington.or.us)
    • Phone: 503‑846‑3519
    • Website: Washington County — Short‑term Rentals (www.washingtoncountyor.gov/lut/short-term-rentals)
  • Forest Grove City Hall

    • City website, phone, and email were not included in the provided content. Contact the city directly via its official website for any future city STR program or planning updates.
  • Oregon Department of Revenue (State lodging tax)

    • Website: Oregon Department of Revenue — Lodging/Transient Lodging Tax (www.oregon.gov/dor/programs/businesses/pages/lodging.aspx)
    • Register for a tax account if you will collect/remit lodging taxes directly; otherwise, confirm that your platform remits on your behalf and reconcile filings as needed.

Links to Source Pages

  • Washington County — Short‑term Rentals (county policy and background on lack of regulation): www.washingtoncountyor.gov/lut/short-term-rentals
  • Hillsboro eases regulations for Airbnb and other short‑term rentals (local news context for a neighboring city): forestgrovenewstimes.com/2024/02/22/hillsboro-eases-regulations-for-airbnb-other-short-term-rentals/
  • Oregon Department of Revenue — Lodging/Transient Lodging Tax (state tax overview): www.oregon.gov/dor/programs/businesses/pages/lodging.aspx

Final note for investors: The current regulatory environment in unincorporated Washington County, including unincorporated parts of Forest Grove, is permissive and lacks local licensing. However, keep a close watch on City of Forest Grove and County channels; future ordinances could introduce permits, caps, safety standards, and enforcement mechanisms. Always confirm property‑level zoning and HOA rules before acquiring or listing.

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Forest Grove

Market Saturation Score

036912
Moderate Saturation
6/ 12
months with declining YoY revenue
5–7 declining months: moderate saturation risk - market may be nearing capacity.
View Full Forest Grove Market Analysis

Photos of Forest Grove

Overview of Forest Grove

Forest Grove is a small city in Washington County, Oregon, with a population of approximately 24,000 residents. Tucked into the Tualatin Valley about 25 miles west of Portland, it carries a quiet, small-town character while remaining within easy reach of the Portland metro area's restaurants, breweries, and cultural attractions. The community is best known as the home of Pacific University, one of the oldest chartered universities in the American West, and it serves as a relaxed gateway to the northern Oregon Coast, the surrounding Tualatin Valley wine country, and the wooded ridges of the Tillamook State Forest.

Just southwest of town, Henry Hagg Lake draws visitors with a roughly 1,100-acre reservoir surrounded by conifer-covered hills. About a 15-minute drive from Forest Grove, the lake offers boating, fishing, swimming, and more than 13 miles of paved and gravel trails looping its shoreline, making it a popular summer destination for paddlers, cyclists, and families looking to cool off in the warmer months.

A short drive west of Forest Grove, the Tillamook State Forest rolls toward the Pacific, laced with hiking trails, shaded campgrounds, and the scenic drive to the coast. Travelers can reach the famous Tillamook cheese country and the beach towns of the northern Oregon shore in roughly an hour, with stops along the way at viewpoints and forest picnic areas. The route itself, passing through forest and farm country, is a popular day trip for visitors based in the Willamette Valley.

Forest Grove is also at the heart of the Tualatin Valley's wine region, with tasting rooms and vineyards scattered through the rolling countryside within a 15-to-30-minute drive in nearly every direction. Many of these wineries host summer concerts, harvest events, and patio tastings, giving short-term rental guests a low-key alternative to the more crowded Willamette Valley estates farther south.

For investors and travelers alike, Forest Grove offers a compelling mix of small-town affordability and access. Guests can spend the morning hiking around Hagg Lake, the afternoon sampling pinot noir in nearby vineyards, and the evening browsing Pacific University's leafy historic campus or the locally owned shops along Main Street, all before retreating to a rental that feels worlds away from Portland yet sits only about 40 minutes from the city center. That combination of natural recreation, wine country proximity, and coastal access makes Forest Grove a versatile base for exploring northwestern Oregon throughout the year.

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