Episode 199: Location-Specific Tenancy Guidance for New Jersey
Summary
Today’s location-specific episode features New Jersey. We explore the overview of the housing guiding document called Truth-In-Renting Act New Jersey. Each of my location-specific podcasts is set up the same way answering the same four questions:
1) What are the basics of the Truth-In-Renting Act New Jersey
2) What are the nuances of this location – what is different that stands out?
3) Some guidance about abandoned items left behind by a tenant in a rental in New Jersey
4) Where to get help in your local area in New Jersey. Then I’ll go through what I call my “Bingo Card” of standard items I see most often in tenancy laws in different locations. This episode is NOT all inclusive – you must research further in your specific area including your County, Regional District, Parish, City or any other Governing Body that involves your rental location, but today’s episode will get you started!
This episode includes resources for New Jersey including:
Listen to the full episode :
This Week’s Blog Post:
Welcome to My Life As A Landlord, where we educate curious US and Canadian landlords, answer rental questions, and clear up confusions about all things housing. I'm your host, Doctor Jennifer Salisbury, and I'm so pleased you've joined me for today's show all about New Jersey. I've heard a lot about New Jersey, there's a lot of resources out there, and I'm excited that we're going to get to it.
The Four Questions and New Jersey's Truth in Renting Act
Each of my location specific podcast is set up in the exact same way, answering the same four questions. What are the basics of the tenancy laws in New Jersey? What are the nuances? Then get some guidance about abandoned items that might be left behind by a tenant, and then where to get help. At the very end, I'll go through what I call my bingo card, sort of a checklist that is the basics. The Tenancy Act in New Jersey is called Truth in Renting Act. I must tell you that even if I get it 100% bang on perfect and everything that is in this episode is exactly correct, five minutes after recording, it could change. So you've got to make sure that you do your own research for your own rentals in municipalities, counties, anything that is a nuance of where your rentals are located.
Security Deposits, Registration Requirements, and Pets
Maximum security deposit to be collected by the landlord cannot be one and a half times month's rent, and it can be less, and any additional yearly security deposit increase may not exceed 10% of the current security deposit. A landlord who receives security deposit money for ten or less units must deposit that money in an insured bank or savings and loan association located in New Jersey in an interest bearing account. If you've got ten units or more, you can do a money market fund. A landlord who owns 1 or 2 family non owner occupied home is required by law to file a registration statement with the clerk of the municipality in which the building is located. If the building has three or more units, a statement must be filed with the Bureau of Housing Inspection. The landlord registration law prohibits a landlord from evicting a tenant in the building if the landlord has not been properly registered. Landlords have a right to include a no pets provision in the lease, except in certain senior citizen housing projects for handicapped, blind or deaf tenants. A service animal is not a pet, it's like a prosthetic leg, it's actually part of the quality of life of the human it serves.
Late Fees, Holdover Penalties, and Renters Insurance
The law states the landlord must allow a tenant a period of five business days to pay the rent. If the tenant pays the rent within the five day period, the landlord may not charge a late fee. Courts will enforce late charges if they are reasonable and spell out in writing in the lease. Any senior citizen receiving special pensions must be given a five business day grace period for payment when rent is due on the first of the month. A tenant who remains in a unit after giving his or her landlord written notice of the intent to leave may be held responsible for double the rent payments for the month that the tenant continues to occupy the unit without a lease. The payment of double rent payments shall be continued during the time which the tenant continues the possession. A tenants requirement to obtain renters insurance is required in New Jersey, which is amazing. I've not seen that anywhere else.
Abandoned Property and Eviction Procedures
In the event a landlord of residential property may dispose of any personal property left on the premises after having given notice to the tenant prior to disposition of the property, the landlord must satisfy three conditions: written notice to the tenant by certified mail, a warrant for removal has been executed and possession has been restored to the landlord, or the tenant has given written notice that they're voluntarily relinquishing possession. If the abandoned property is not removed by the tenant, then the landlord may sell the property at a public or private sale, or destroy or otherwise dispose of the property if the value is so low. If a tenant fails to pay rent, landlord may immediately take legal action to have the tenant evicted. The landlord is not required to give the tenant notice before filing an eviction suit, except if the tenant resides in federally subsidized housing with 14 day notice. New Jersey is super technical, and if you're just getting started here, it might be a really good idea to get yourself an attorney to help you through this because this is really, really thick. Real estate takes you places. Where do you want real estate to take you?