Tenants Rights in Raising Rents in New Jersey
In New Jersey, tenants have rights against landlords who increase rent beyond what tenants can reasonably afford. If a landlord raises rent beyond what a tenant can afford, then tenants must have the opportunity to terminate the lease agreement. Landlords must comply with the state's landlord-tenant statutes codified in New Jersey Statutes Annotated and New Jersey Administrative Codes.
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Written Notice
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Landlords must provide tenants with a written notice of rent increase. For monthly and annual lease agreements, the landlord must provide the tenant with this written notice at least one month prior to the termination of the lease. If the landlord's lease agreement requires a longer notice period, however, then the landlord must provide adequate notice as written into the lease agreement.
Lease Expirations and Option to Extend Lease
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Before a landlord in New Jersey may raise rent, the landlord must comply with the terms of the residential lease agreement. For leases that provide for month-to-month tenancies, landlords cannot raise rent during the month. For annual leases, landlords may not raise rent within the year. Once the tenant's lease agreement ends, landlords must provide tenants with the choice of signing a new lease agreement at the higher rental rate or to allow the tenant to terminate the lease agreement without renewing the lease.
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Anti-Eviction Act
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Tenants who remain in the landlord's property without agreeing to the rental increase can be sued in court and evicted for nonpayment of the increased rental amount.
Illegal Retaliatory Increases
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Landlords may not increase rent as a method of retaliating against a tenant. Some illegal circumstances include retaliation for the tenant's complaint to an official government agency about the landlord's unlawful or discriminatory behavior or as retaliation for exercising the tenant's legal rights under the lease.
Unconscionable Increases
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Landlords cannot require tenants to pay increased rental amounts that are unconscionably large or beyond what is reasonable and can be considered shocking to the conscience. When determining whether an increase was unconscionable, judges will review the facts in a case-by-case fashion. Under New Jersey's laws, the landlord has the burden of proof to show the increase wasn't unconscionable.
Tenants in Special Housing
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Tenants living in rent-controlled apartments must follow the New Jersey township's rent ordinance regulations to determine whether their landlord's rental increase was within the allowable rental rate. The township's rent control board regulates the local rent control laws and allows landlords to apply for a rental increase in certain circumstances, such as showing economic hardship. Tenants have rights to receive rentals at the rate provided by the rent control board. Additionally, Section 8 tenants have rights pursuant to the U.S. Housing and Urban Development Agency's regulations.
Considerations
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Since landlord-tenant 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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References
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