NJ Rent Jacked More Than 30 Percent In The Past Year, Analysis Says

NEW JERSEY — The rent in New Jersey has skyrocketed in the past year, according to a rent.com analysis. Overall, rent has increased by 32.86 percent, with an average one-bedroom apartment costing $2,396 per month.

Rent has grown even more in Jersey City during that span, with renters reporting an average increase of about 50 percent — the nation's biggest jump in rental prices between 2021 and 2022 besides New York City. A one-bedroom apartment in Jersey City averages $3,943 per month, while a two-bedroom home averages $5,371 monthly, according to rent.com. Read more: Rent Prices Jumped More Than $1.5K In This NJ City: Report

As inflation and the rising cost of living continue to impact Americans, the rising costs for apartments have given renters another challenge in making ends meet. Affording a home has become more difficult in recent years than during the Great Depression, according to Relevant Magazine. During the Depression, the median annual pay was about 22 percent of the cost of a home — compared to 14 percent in 2019.

More tenants fell behind on rent during the pandemic, and eviction filings have risen sharply since the federal moratorium and several state moratoriums expired.

Low vacancies, ballooning prices of home sales and inflated costs for owners and developers have contributed to the crisis in rental affordability, according to Fidelity.

What Are The State's Laws On Rent?

New Jersey has no state law governing rent increases. But cities and towns can adopt ordinances regulating the amount and frequency of rent increases. New Jersey had 99 municipalities with rent-control rules in 2019 — the highest in the nation, according to think tank Urban Institute. But local rent control hasn't prevented New Jersey from having some of the highest-average rental prices in the nation.

Landlords in New Jersey can't increase a tenant's rent during the term on their lease, but they can raise it for renewal. If a tenant rents month-to-month, landlords can raise rent as long as they give the tenant one month's notice.

Before any rental increase, landlords must give the tenant a written Notice to Quit and a separate written notice about the rent increase. Landlords can increase the security deposit when rent rises, but it can't exceed 1.5 times the monthly rent, state officials told NJ Advance Media.

How Much Has NJ's Rent Increased?

From April 2021 to this April, the average one-bedroom apartment in New Jersey increased 32.86 percent — from $1,803 to $2,396 per month. During that span, the average monthly rent for a two-bedroom apartment in New Jersey jumped from $2,210 to $3,061 — up 38.54 percent in one year.

New Jersey's year-over-year rent increases exceed the national average of 26.5 percent for one-bedroom apartments and 25.7 percent for one-bedroom spaces, according to rent.com.