OMBA Members & Supporters,

The OMBA Legislative Committee continues to monitor activity in the final days of the 2026 short legislative session. As lawmakers work toward adjournment, several housing-related measures remain active.

Below are the key items currently relevant to OMBA and the mortgage and housing industry.

Key Takeaways

• HB 4128 (institutional investor participation) has passed the Senate and now returns to the House for final concurrence.
• Mortgage Interest Deduction (MID) discussions remain active, though the proposal may not advance further during this short session.
• Federal trigger lead restrictions are expected to take effect March 6, 2026, with states potentially playing a role in enforcement.

HB 4128 - Institutional Investor Participation

HB 4128 recently passed the Oregon Senate by a vote of 26-2 and now returns to the House for final concurrence before potentially moving to the Governor's desk.

The bill would require certain large institutional investors to wait 90 days after a single-family home is listed for sale before they can purchase the property. The measure also establishes disclosure requirements for qualifying entities and authorizes enforcement through the Oregon Department of Justice.

OMBA's previously submitted language addressing mortgage industry considerations was incorporated into the current version of the bill during the committee process.

Mortgage Interest Deduction (MID)

Legislation addressing Oregon's Mortgage Interest Deduction continues to be discussed within the Legislature.

The proposal focuses on eliminating the deduction for second homes, with discussion around directing resulting revenue toward first-time homebuyer initiatives. At this stage, the bill remains in a committee that does not face the same deadline pressures as other policy measures.

While the proposal may not advance further during this short session, the issue is expected to remain part of broader housing policy discussions in future legislative cycles.

OMBA continues to monitor developments and coordinate with housing and financial services partners.

Federal Update - Trigger Leads

At the federal level, implementation of trigger lead restrictions under the Fair Credit Reporting Act amendments is expected to take effect March 6, 2026.

Current interpretation indicates that states may play a role in enforcement. Under the new framework, credit bureaus will be restricted from selling trigger leads to non-qualified buyers.

Exceptions are expected to include:

• The current loan servicer
• The originating lender (if different from the servicer)
• Depository institutions maintaining an existing consumer relationship

OMBA will continue monitoring federal guidance and implementation as additional details become available.

The committee will continue tracking developments as the Legislature approaches its scheduled adjournment.

Thank you for your continued engagement and support.

Eric Wiley

Vice President

Chair, Legislative Committee

Oregon Mortgage Bankers Association