New Jersey Month to Month Lease Agreement Template

Minimum Termination: The rules for ending a month-to-month lease in New Jersey depend on who is initiating the termination and the type of building.

• Tenants: A tenant may terminate a month-to-month lease tenancy at any time by providing one full month’s written notice to the landlord (N.J.S.A. 2A:18-56(b)).
• Landlords: Under the New Jersey Anti-Eviction Act, a landlord cannot terminate a month-to-month lease without “good cause,” such as non-payment of rent, destruction of property, or permanently retiring the building from residential use (N.J.S.A. 2A:18-61.1). The notice period varies widely based on the specific cause of termination.
• Owner-Occupied Building Exception: The Anti-Eviction Act does not apply to owner-occupied properties with two or fewer rental units. For these specific properties, landlords can terminate a month-to-month lease by providing the tenant with one month’s written notice (N.J.S.A. 2A:18-61.1(1)).

Increasing Rent: New Jersey has no specific cap on rent increases, but prohibits increases that are “unconscionable” (N.J.S.A. 2A:18-61.1(f)). To raise the rent, the landlord must serve a formal “Notice to Quit and Notice of Rent Increase” at least one full month before the higher rent takes effect (N.J.S.A. 2A:18-56(b)). If the tenant refuses to pay the increase because they consider it legally “unconscionable,” the landlord can take them to eviction court, where a judge will determine if the increase was fair and reasonable (Fromet Properties, Inc. v. Buel (1996); N.J.S.A. 2A:18-61.1(f)).

New Jersey allows local municipalities to enact and enforce their own rental control and rent stabilization ordinances. Currently, over 100 cities and townships in New Jersey have active rent control boards that typically cap rent increases to a specific percentage and govern how frequently rent can be raised.

Exception:

• Under New Jersey’s New Constructed Multiple Dwellings law, all newly built rental buildings are exempt from local rent control ordinances for 30 years following their completion (N.J.S.A. 2A:42-84.2).