SALEM—Oregon on Feb. 28 enacted the nation’s farthest-reaching law limiting rent increases and restricting no-fault evictions, providing immediate protection to roughly 1 million renters across the state.

PORTLAND — Oregon has become one of America's most popular moving destinations, with tens of thousands of newcomers each year drawn by its forests and mountains, its quirky city of Portland and its job opportunities. But the inflow has caused a rental housing crisis across the state, with too few homes being built. Families face steep rent hikes or evictions to make way for better-heeled tenants.