🎣 Why Out-of-State Investors Are Quietly Snapping Up Oregon Coast STRs

[AJ Wong]

If you’re an out-of-state investor eyeing short-term rentals, you know the usual suspects — are often oversaturated, overregulated, or both. But savvy buyers have a quieter target: the Oregon Coast.

This stretch of rugged coastline hits the sweet spot: tight supply, strong year-round demand, realistic price points, stable insurance, and powerful tax advantages. Here’s why more out-of-state buyers are locking up Oregon beach homes..

Coastal Access, Fewer Coastal Headaches

Oregon’s coastline is protected by strict land use rules — so supply stays limited and legal STRs hold value.

No hurricane season spikes your insurance (although Tsunami zones are real) and no sudden city council bans wipe out your cash flow overnight like in some big cities.

Lower Buy-In, Better Cash Flow

A California beach STR might run you $2–$3M. In Oregon? Ocean-view or beachfront homes still close in the $500K–$1.5M range — often fully licensed and zoned for legal short-term rental use.

That means lower down payments, better cash-on-cash returns, and incentivizing investments - if you run it well.

Year-Round Bookings

The Oregon Coast is the ultimate drive-to escape for Portland, Seattle, and Northern California. Families, remote workers, golfers, fisherman — they fill the calendar beyond just summer. Hot spots like Bandon Dunes pull premium guests all year long.

Tax Advantages: STR Loophole + 1031 Exchange

The STR loophole is back for 2025 — pair that with 100% bonus depreciation and you can offset big chunks of W-2 income when you buy right. Add Oregon’s 1031-friendly market and investors recognize what makes investing here so desirable. 

Manage Remotely — Or Tap a Local Pro

Many out-of-state owners manage Oregon STRs with smart tech and local cleaning crews. Want to stay hands-on to qualify for the loophole? You can — or plug in a licensed manager and scale up. We regularly refer clients to iTrip, Wander (when applicable) and Vacasa (case by case). 

Where to Look

Top towns for out-of-state STR buyers:

• Seaside — Portland’s easy beach escape, repeat guests, tight permit caps
• Florence — Low entry cost, recreational hub, Eugene’s coast gateway
• Pacific City — Solid year-round demand, multiple zones
• Rockaway Beach — Budget-friendly, family-friendly
• Bandon — Golf capital + rugged luxury coastal stays
• Brookings — Tight permits, strong ROI, southern sunshine
• Bonus picks: Bay City, Manzanita (short waitlist), Tillamook County, Mapleton, Lincoln City

Bottom Line

For out-of-state investors, Oregon’s Coast might check every box: legal zoning, strong bookings, stable insurance, tax advantages, and real long-term upside — without the drama you’ll find in the big-name beach markets.

[Mike Grudzien]

Thank you AJ for your analysis.