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New Jersey Does Not Have a Law Governing Rent Increases

December 21, 2018 | Category: Landlord/Tenant Law | Share

New Jersey — same as other states — has various statewide and municipal regulations governing the legality of rent increases.  If you are a landlord looking to implement a rent increase (or are involved in a dispute over a rent increase), then it’s worth getting to know the basics.

Let’s take a look.

No Statewide Limitations, Possible Municipal Limitations

In New Jersey, there is no specific, statewide (statutory) limitation on rent increases.  Put another way, there is no “hard limit.”

There is nothing to stop you — the landlord — from increasing the rent a few hundred dollars in a given year, except for municipal rent control ordinances.  Municipalities may impose their own rent control ordinances that establish a hard limit on the rent increases that landlords are allowed to impose.  For example, a municipal ordinance may make it illegal for landlords to increase the rent more than 10 percent on an annual basis.

Basic Rent Increase Limitations

Importantly, despite the fact that the state of New Jersey does not impose a “hard limit” on rent increases at the statewide level, there are circumstantial limitations that may prevent you from increasing the rent to an excessive degree.

In New Jersey, landlords cannot increase the rent to the point where a reasonable person might consider it “unconscionable.”  Whether a rent increase is unconscionable is dependent on a number of factors that include the rent increase amount itself, the landlord’s existing profits, the dynamics between the landlord and tenant, whether a reasonable person would be taken aback by the rent increase, and whether the unit is comparable (from a rent perspective) to other units in the area after the rent increase.

Contact an Attorney Experienced in Resolving Disputes Over New Jersey Landlord Tenant Law

If you are a New Jersey landlord involved in a rent control dispute or are simply interested in raising your rents — but are concerned about the implications of statewide New Jersey (and local) regulation on your ability to do so — then we encourage you to get in touch with our firm for further assistance.  Working with a qualified attorney early on can help you avoid problems later down the road.  Meanwhile, in a dispute, a negotiated resolution to the issue at-hand may be possible.

Here at Griffin Alexander, P.C., our attorneys have decades of experience advocating on behalf of residential and commercial landlords in disputes with their tenants, including scenarios that involve significant rent increases.  We understand the challenges that landlords face in New Jersey — and elsewhere — and how best to approach a dispute so as to minimize the potential for conflict and secure a favorable resolution.

Call (973) 366-1188 or request an appointment online to connect to an attorney here at Griffin Alexander, P.C. who has experience in handling disputes relating to New Jersey landlord tenant law.