Limit To Rent Increases On Hoboken Council Agenda: Who It Applies To

HOBOKEN, NJ — Moving can be difficult for anyone who's lived somewhere long-term, so when a landlord increases the rent beyond the fair market rent, tenants may be willing to pay extra — but what if the rent becomes more than they can afford?

As rents skyrocket across the country in the wake of the end of pandemic rent freezes, Hoboken tenants have been posting on social media that landlords are trying to increase their rent by 25 percent or more. Whether such an increase is legal depends on the type of housing.

Hoboken has a Rent Control Ordinance that was proposed in 1972 and took effect in 1973. It limits the amount of annual increases to the Cost of Living Increase set by the federal government, usually 2-8 percent. There are exceptions allowed (such as a 25 percent vacancy decontrol every three years for certain types of units) and landlords can apply to the city's Rent Leveling Board to pass along increases due to rehabilitation, maintenance, and tax and water increases.

Applies To Older Units

However, Hoboken's Rent Control Ordinance, as it stands, applies only to units in town that are more than 30 years old and on the tax rolls (in other words, not the buildings constructed after 1991, nor the former affordable housing buildings that make PILOT payments in lieu of taxes).

The Hoboken City Council plans to address increases for rent-controlled units at its meeting on Wednesday night.

Up for a vote is a measure to further limit the amount that landlords can raise rents on those units, a matter meant to bring the laws in line with other towns in Hudson County.

What About All The Other Housing?

Each town can set its own Rent Control Ordinance and amend it, but there is no statewide law limiting all rent increases to a certain percent — yet, for all other units (such as newer construction), New Jersey state law mandates that increases must be "conscionable" or tenants can fight them in court.

Also, landlords can only evict tenants in New Jersey for specific reasons, under state law.

The measure up for a vote in Hoboken on Wednesday night applies only to the units currently under rent control. It limits the rent increase this year to 4 percent rather than 7.5 percent, notes NJ.com. It also would limit vacancy decontrols to 10 percent every five years instead of 25 percent every three years.

You can watch the council meeting live on Facebook here. Check out the agenda and packet here.

The city has a tenant advocate who can help both landlords and tenants navigate local and state laws with regard to rent increases. Find out more here.

Rent increases in Hudson County this year have been among the highest in the nation, with Rent.com saying increases on one-bedrooms have climbed as high as 43.6 percent in the Jersey City area. Read more about that here.

Read more about recent changes to Hoboken's rent laws here.