New Jersey Rent Control Laws: Landlord/Tenant Guide 2024

As in much of the U.S., housing costs across New Jersey have soared. Median home prices increased by more than 50% over the past five years as many prospective homeowners snapped up their very own piece of the Garden State.

Considering New Jersey’s abundance of outdoor recreation, sandy shorelines, and proximity to some of the nation’s largest metropolises, it’s no surprise that real estate here has become so desirable. Though prices of both purchasing and renting property have surged, New Jersey has yet to impose a statewide rent control law.

This does not mean there is no rent control in New Jersey—instead, certain counties and municipalities, like Hoboken and Atlantic City, impose their own rent control measures.

TurboTenant is here to clarify the rules and regulations surrounding New Jersey rent control, so landlords can determine how to manage their properties most efficiently. Meanwhile, tenants can also find value in learning about New Jersey rent control laws to understand how rent increases may affect them.

Key Takeaways

• New Jersey rent control is determined by individual municipalities and county governments
• The amount of allowable rent increase varies from location to location
• More than 100 local governments have implemented rent control ordinances
• New Jersey tenants have strong anti-eviction protections in place

New Jersey Rent Control Laws: An Overview

As mentioned, New Jersey rent control is not standardized across the state. Instead, different cities have determined their own rent control measures. Currently, 117 municipalities in the state are subject to rent control, including Elizabeth, Lakewood, Fort Lee, and Edison.

It’s worth noting that currently, the laws in these locations all tend toward rent stabilization (in which landlords are permitted to make specific, incremental increases) rather than rent control (in which rent is capped at a certain number to control prices). Since New Jersey rent increase laws vary across the state, you should thoroughly research the location of your property or prospective property to determine exactly how much you can raise rent.

If the local government does not have rent control laws, landlords are currently free to increase prices as they see fit.

Rent Increase Limitations in New Jersey

Most New Jersey rent increases are calculated using the Consumer Price Index (CPI), which determines how much the cost of living has increased every year. Some municipalities allow for rent increases of a certain percentage plus the cost of living increase, while others have limited the percentage by which rent can be raised annually.

Typically, New Jersey rent increases are limited to between 2% and 6%. Newark, for example, allows landlords to raise rent based on yearly inflation (as determined by the CPI) but caps that increase at 4%. Atlantic City, on the other hand, relies solely upon the yearly CPI increase to determine the allowable annual rent increase.

Other cities that have implemented rent control in New Jersey include:

• Jersey City: Yearly CPI increase or 4% maximum
• East Rutherford: 5.5% maximum
• Barnegat Township: 3.5% maximum
• Camden: 5% maximum
• West Orange: 3% if the landlord pays for heat, 2% if the tenant pays for heat
• Eatonton: 3.5% if the landlord pays for heat and hot water; 2.5% if the tenant pays for heat and hot water

Regardless of where a property is located, New Jersey rent control only applies to units built 30 or more years ago.

Only one rent increase is allowed per rental period — for example, if you rent your property on a yearly basis, then you can only raise the rent once every year. You must also provide rent increase notice in New Jersey between 60 to 90 days in advance, depending on the county or municipality in which your property is located.

But if you rent out your property on a month-to-month basis, you can increase the rent every month provided that you give your tenants 30 days’ notice. For week-to-week rentals, that notice must be given seven days or more in advance.

Just Cause for Eviction in New Jersey

Though New Jersey rent control does not apply equally across the state, a statewide Anti-Eviction Act is in effect. There is also a strong state bias toward the tenant in eviction cases, so landlords must have solid grounds for evicting a tenant. The most common acceptable causes for eviction include:

• Nonpayment of rent
• Major damage to the dwelling unit
• Unpermitted pets
• Criminal activity
• Disorderly conduct

In certain cases, landlords in New Jersey must file a Notice to Cease before filing a Notice to Quit. The Notice to Cease gives tenants time to rectify the situation or behavior that could lead to their eviction.

The minimum time requirement for a Notice to Quit, which initiates the eviction process, varies based on the offense committed. For example, tenants who are being evicted for repeated disorderly conduct or for causing significant damage may only have three days to vacate the property after receiving a Notice to Quit. However, lease violations such as unpermitted pets or smoking require a 30-day Notice to Quit.

If a tenant feels that they have been unfairly evicted, they can contest the eviction in court. Though eviction should only be used as a last resort, landlords in New Jersey should thoroughly document any lease violations or other causes for eviction to ensure a favorable outcome.

Landlord Rights and Responsibilities

When it comes to New Jersey rent increases, landlords must do their due diligence in determining which municipality or county rent control laws govern their property locations. However, they are also entitled to certain rights under these laws. These rights include:

• The ability to charge rent
• The ability to charge a fee for late rent (outside of any grace periods stipulated in the lease or the statewide, five-business-day grace period given to seniors)
• The ability to evict noncompliant tenants
• The ability to use tenants’ security deposits to cover any damages caused by tenant

In exchange for these rights, landlords in New Jersey are responsible for providing the following:

• Habitable housing for tenants regardless of tenants’ race, religion, nationality, disability, etc.
• Disclosure of legally required information, such as previous property damage and rent control policies
• Punctual repairs (no minimum time frame in which to do so, however)
• Unused portions of security deposits within 30 days upon termination/completion of the lease

Landlords who do not uphold their responsibilities, including New Jersey rent control laws, may be subject to fines or even jail time in certain cases.

Tenant Rights and Responsibilities

Tenants enjoy certain rights that are particular to the state of New Jersey, as well as the same rights that tenants have across much of the United States. A tenant has the right to:

• Access to housing without fear of discrimination
• Withhold rent payments (or deducting from future rent payments) until a landlord makes requested repairs
• Receive notice in an appropriate time period before any rent increases
• Contest an eviction or any perceived discrimination in a court of law

Generally speaking, tenants do not have special responsibilities within the state of New Jersey as compared to the rest of the country. Like in most other states, tenants must follow the guidelines below:

• Pay rent on time
• Abide by the terms of the lease
• Abstain from seriously damaging the property outside of normal wear and tear
• Inform the landlord of necessary repairs in a timely manner

Navigating Rent Control Laws with TurboTenant

New Jersey rent control laws vary significantly across the state and can confuse landlords and tenants alike. To help New Jersey renters and property owners, TurboTenant offers resources like property management software and an adjustable, New Jersey-specific lease template that covers all the bases required by New Jersey law.

Further, TurboTenant simplifies the property rental process from start to finish and provides a credit and background check to help landlords find the best possible tenants. Whether you’re a landlord or a tenant in New Jersey, our services can save you valuable time and prevent future headaches.

New Jersey Rent Control Laws FAQs