In 2025, the average rent for a 1-bedroom apartment in Hillsboro, OR is $1,650 per month, up 4.2% from the previous year. This snapshot reflects the current housing market in Hillsboro, where demand for rental units continues to rise alongside steady job growth in the tech sector.
The Housing Market in Hillsboro Today
Hillsboro’s housing market is characterized by tight inventory and rising prices, particularly for single-family homes. The city’s proximity to major employers like Intel and Nike has driven demand for housing, while new developments have struggled to keep pace. In recent years, an increasing number of apartments and townhomes have been built to accommodate the influx of young professionals and families.
Despite the challenges, Hillsboro remains relatively affordable compared to nearby Portland. The city’s diverse housing stock includes a mix of established neighborhoods with mid-century homes, newer subdivisions with modern amenities, and a growing number of apartment complexes catering to various lifestyles. Many of these newer developments are incorporating green spaces, community gardens, and energy-efficient features to appeal to environmentally conscious residents.
Renting in Hillsboro: What’s Typical?
As of 2025, the average rent for a 1-bedroom apartment in Hillsboro is $1,650 per month, while a 2-bedroom unit averages $2,100 per month. These figures represent a 4.2% and 3.8% increase, respectively, from the previous year. Rent prices can vary significantly depending on the neighborhood, age of the building, and included amenities.
Popular areas for renters include downtown Hillsboro, where many newer apartment complexes are located within walking distance of restaurants, shops, and public transit. The Orenco Station neighborhood, known for its mixed-use development and easy access to the MAX light rail, is another sought-after spot for renters. Young professionals and couples are drawn to these areas for their convenience and vibrant community atmosphere.
While rent in Hillsboro has risen steadily in recent years, some neighborhoods still offer more affordable options. The Shute Park area, for example, features a mix of older apartment buildings and single-family homes with lower rents compared to the city average. Renters looking for more space and a quieter setting may find suitable options in this part of town.
Owning a Home in Hillsboro
The median home price in Hillsboro as of 2025 is $550,000, a 6.1% increase from the previous year. For a typical buyer putting 10% down on a median-priced home, this translates to a monthly mortgage payment of around $2,450, assuming a 30-year fixed-rate mortgage at 4.5% interest.
In addition to the mortgage, homeowners in Hillsboro can expect to pay property taxes averaging 1.1% of their home’s assessed value per year. For a median-priced home, this equates to approximately $6,050 annually or $504 per month. Homeowners insurance premiums average $1,200 per year or $100 per month, while utility costs for a typical single-family home hover around $250 per month.
Many neighborhoods in Hillsboro have active homeowners associations (HOAs) that charge monthly or annual dues to cover the maintenance of common areas, amenities, and exteriors. HOA fees can range from $100 to $400 per month, depending on the community and the services provided. Some newer developments in Hillsboro offer more luxurious amenities like pools, fitness centers, and clubhouses, which can drive up HOA costs.
Renters vs. Homeowners: Who Lives Where?
Hillsboro’s homeownership rate currently stands at 54%, slightly lower than the national average. This means that nearly half of the city’s residents are renters. Younger individuals, particularly those under 35, are more likely to rent due to factors such as job mobility, student loan debt, and the high upfront costs of purchasing a home.
Families with children and older residents tend to have higher homeownership rates in Hillsboro. The city’s well-regarded school district and family-friendly neighborhoods make it an attractive place to put down roots. However, rising home prices and limited inventory have made it challenging for some first-time buyers to enter the market in recent years.
Cultural and financial barriers can also impact homeownership rates. Some immigrant communities in Hillsboro may face language or credit challenges when navigating the home-buying process. Additionally, the upfront costs of purchasing a home, such as the down payment and closing costs, can be a significant hurdle for many potential buyers, particularly those with limited savings or lower incomes.
| Housing Cost | Monthly Average |
|---|---|
| Rent (1BR) | $1,650 |
| Rent (2BR) | $2,100 |
| Mortgage (Median Home) | $2,450 |
| Property Tax | $504 |
| Homeowners Insurance | $100 |
| Utilities | $250 |
| HOA Dues | $100 – $400 |
Estimates reflect mid-range properties and average usage.
What’s Driving Costs Up or Down?
Several factors are influencing housing costs in Hillsboro. On the demand side, the city’s strong job market and growing population are putting upward pressure on prices. Major employers in the technology and manufacturing sectors continue to expand their presence in the area, attracting new residents and driving up competition for housing.
On the supply side, Hillsboro faces challenges in keeping pace with the demand for new housing. Zoning restrictions and land-use policies have limited the development of high-density housing in some areas, while rising construction costs and labor shortages have slowed the pace of new builds. Some older neighborhoods in Hillsboro are also grappling with the impacts of gentrification, as investors purchase and renovate properties, driving up rents and home values.
Despite these pressures, Hillsboro has taken steps to address housing affordability and supply. The city has implemented policies to encourage the development of accessory dwelling units (ADUs), which can provide more affordable rental options in established neighborhoods. Additionally, the city has partnered with developers to create mixed-income housing projects that include a percentage of units reserved for lower-income households.
FAQs About Housing in Hillsboro
- Is Hillsboro affordable to live in?
While housing costs in Hillsboro have risen in recent years, the city remains relatively affordable compared to nearby Portland. Renters and buyers can find a range of options at various price points, depending on their location and housing preferences. - Why are housing prices changing?
Housing prices in Hillsboro are influenced by factors such as population growth, job market trends, and the availability of new housing supply. As more people move to the area for work and quality of life, competition for housing increases, putting upward pressure on rents and home values. - How does Hillsboro compare to nearby cities?
Hillsboro tends to be more affordable than Portland, with lower median rents and home prices. However, it may be slightly more expensive than some smaller towns in Washington County. Hillsboro offers a balance of urban amenities, good schools, and access to nature, making it an attractive option for many households.
Making Smart Housing Decisions in Hillsboro
To navigate the housing market in Hillsboro, it’s essential to consider your budget, lifestyle preferences, and long-term goals. Monthly Budget Examples for Hillsboro Residents can help you understand how housing costs fit into your overall expenses and financial picture.
Renters should factor in not only monthly rent but also utility costs, renter’s insurance, and any additional fees like parking or pet rent. Comparing different neighborhoods and apartment amenities can help you find the best value for your money.
For potential buyers, it’s crucial to look beyond the list price and consider the total cost of homeownership, including mortgage payments, property taxes, insurance, maintenance, and any HOA fees. Working with a local real estate agent and lender can help you understand your options and make an informed decision.
Regardless of whether you choose to rent or buy, it’s important to do your research and budget accordingly. By understanding the Cost of Living in Hillsboro and the factors that influence housing costs, you can make smart choices that align with your financial goals and lifestyle preferences.