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Are There Limits on Residential Rent Increases in New Jersey

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  • 03-10-2019, 08:13 AM
    blue eyes 63
    Are There Limits on Residential Rent Increases in New Jersey
    My question involves landlord-tenant law in the State of: New Jersey I live on 2nd floor, 2 family private home where landlord does not reside in Hudson County, 07029 zip, NJ.My current rent is 1200/mo. I just received a rent increase to $1400/mo. I pay my rent usually before date due and have never been late. No problem with landlord whatsoever. This is an increase of 16.67%. Is this legal? I live in Harrison, NJ.

    Thanks in advance for your help!
  • 03-10-2019, 08:32 AM
    flyingron
    Re: Rent Increase in New Jersey 16.67%
    There's no statutory limits in most places. Once your lease ends, the landlord is free to propose a new rent for the lease renewal. There is a NJ law that bars "unconscionable" increases, but you'd have to take him to court to make that assertion. However, just a large increase doesn't make it unconscionable. It has to be out of line with similar properties in the area and would "shock the conscience of a reasonable person."
  • 03-10-2019, 10:17 AM
    adjusterjack
    Re: Rent Increase in New Jersey 16.67%
    Quote:

    Quoting blue eyes 63
    View Post
    This is an increase of 16.67%. Is this legal?

    I'm assuming that you are not in a rent controlled area, or you would have mentioned it.

    There doesn't appear to be "a" law (statute) addressing unconscionable rent increases. It's a matter of case law.

    I found one site (there are many) that provides the following criteria for determining whether a given rent increase is unconscionable:

    The actual amount of the rent increase;
    The financial circumstances of the landlord (i.e., their revenue, profit, costs, etc.);
    How the new rent compares to the rent of other similar units in the general location;
    The power dynamic between the tenant and the landlord (how much bargaining power each has); and
    Whether the rent increase would surprise or shock a reasonable person.

    In searching for case decisions I found 232 appellate case decisions regarding unconscionable rent increases under a variety of circumstances.

    https://scholar.google.com/scholar?s...en&as_sdt=4,31

    I don't have time to read them all. I'll leave that to you.

    A quick glance, however, reveals that the burden of proof is on the tenant and, obviously, you would have to go court to seek relief from the rent increase.
  • 03-10-2019, 11:12 PM
    blue eyes 63
    Re: Rent Increase in New Jersey 16.67%
    Thank you very much, Jack, for taking the time to research and respond to my question. I found the same results as you, however I posted the question hoping I was wrong. I sincerely appreciate your help.

    Again, thank you very much for your response!

    Thank you very much for your time and response to my question. I truly appreciate your help!
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