2 rules apply — the local one first, then the county and state rules that bind alongside it.
Verified on 2026-08-17.
Paterson's Chapter 381 limits an annual increase to 5% of the existing base rent, or 3.5% where the head of household is 65 or over or has been found disabled by the Social Security Administration. Coverage turns on who lives in the building: an owner-occupied dwelling is reached at three or more units, and one the owner does not occupy at two.
§381-3E splits on owner occupancy: three or more units where the owner occupies one, two or more where they do not. Neither the city's own tenant brochure nor the DCA survey carries that split — both give a single figure — so an owner-occupied two-family is outside the ordinance and an owner-occupied three-family is inside it.
Base rents run from 11 January 1976. The new-construction exemption is the trap for a buyer of recent stock: it is not automatic, and a developer who did not claim it in the thirty days before the certificate of occupancy lost it permanently — so ask for the filing rather than inferring the exemption from the year built. The city's own Landlords/Tenants Bill of Rights states an exemption for buildings whose certificate of occupancy issued after 1976, which the amending ordinance supersedes.
Exemptions
Sources
Verified on 2026-08-17.
New Jersey has no statewide rent control. The Department of Community Affairs' 2026 survey of all 564 municipalities found 120 with an ordinance and 444 without, and their caps, unit thresholds, exemptions and vacancy rules differ town by town.
This municipality's ordinance has not been read into this knowledge base. Check the DCA's survey — it names every municipality and gives the unit threshold and the increase limit for each — and then read the ordinance itself or call the rent board, before assuming rents can be reset on purchase or turnover. One statewide limit does apply everywhere: N.J.S.A. 2A:42-84.5 keeps municipal rent control off housing completed after 25 June 1987 for 30 years from completion.
Sources