Landlord and Tenant Laws in New Jersey State
Landlords and their tenants in New Jersey can execute written lease agreements but may also enter into oral agreements. When using written documents, landlords must comply with the state's contract laws requiring fair bargaining and arms-length negotiating. Landlords must use plain language in their lease agreements, and they may not require their tenants to waive their rights to receive anti-discriminatory treatment and clean housing.
Security Deposits
Under the Rent Security Deposit Act, landlords are limited to the amount they may collect from tenants as security deposits and can only collect deposits equal to or less than one and one-half month's rent. Landlords must keep all security deposits in interest-bearing accounts and within 30 days of collection, they must provide their tenants with written notification of where they are holding their accounts and the applicable interest rate their deposits are earning. After tenants vacate their apartments, landlords must return their deposits and accrued interest payments within 30 days.
Rent Payments
Landlords cannot unilaterally increase their rental fees without providing their tenants with written notice prior to raising their fees. Landlords must also provide them with an opportunity to unilaterally terminate their lease agreements before the end of their tenancies. Before raising rent, landlords must provide their tenants with an opportunity to leave or sign a new rental agreement to pay the increased rates. New Jersey also limits the amount of rent landlords can charge when increasing rent. Tenants have legal rights to contest their increases by filing lawsuits and claiming their increase was unreasonable. "Unreasonable" depends on the facts of each case. New Jersey courts consider that a rent increase is unreasonable if it is "shocking to the conscience."
Moving Out
Landlords who signed written lease agreements with their tenants can evict them before their tenancies end if their evictions are based on for-cause reasons. Landlords who are seeking to evict their tenants based on for-cause reasons must provide them with at least 30 days' written notice prior to evicting them. The New Jersey Code allows landlords to recover up to two month's rent from tenants who do not move out after their leases end or stay without paying rent. Landlords can collect double rent for each month tenants do not leave after their landlords provide written notice of their willful holdover. The New Jersey Anti-Eviction Act allows landlords to evict tenants for disorderly conduct and excessive noise.
Automatic Lease Renewals
Under New Jersey law, annual written lease agreements automatically convert to monthly agreements, unless tenants terminate their leases. Each month after their leases end, tenants must give their landlords at least 30 days' written notice of termination prior to the beginning of the next month's tenancy or will have to pay the entire month's rent. As a requirement of the New Jersey Anti-Eviction Act, landlords can offer their tenants new lease agreements when their tenancies end, but their agreements must contain reasonable changes that will not result in unnecessary hardship to their tenants. Tenants who believe the changes are unreasonable can send written reasons to their landlords of why they believe their changes are unreasonable, and they may be able to avoid their landlords' double rent remedies if they can prove those changes were unreasonable in court.
Considerations
Since real estate laws can frequently change, you should not use this information as a substitute for legal advice. Seek advice through an attorney licensed to practice law in your jurisdiction.
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