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Short-Term Rentals

How Paramus Handles Short-Term Rentals: A Practical Guide

By CityRuleLookup Editorial Team

Paramus maintains 70 local ordinances across all categories, and 4 of those deal specifically with short-term rentals. Here is a breakdown of what the city actually requires, what is prohibited, and where Paramus falls on the strict-to-permissive spectrum compared to other cities.

Taxes & Fees

Paramus does not impose its own STR licensing fee or local occupancy tax because short-term rentals of 30 days or less are prohibited entirely under Chapter 322, Article II of the Borough Code (Ord. No. 2016-25). Any unlawful STR activity in Paramus is still subject to New Jersey state taxes administered under N.J.S.A. 54:32D-1 and N.J.S.A. 54:32B-3 when booked through a transient space marketplace: 6.625% State Sales Tax, 5% State Occupancy Fee, and the 3% Meadowlands Regional Hotel Use Assessment that applies in Bergen County.

Key details: Local STR Fee: None (STR is prohibited). Local Authority: Paramus Code Ch. 322, Art. II (Ord. 2016-25). NJ Sales Tax: 6.625% (N.J.S.A. 54:32B-3). State Occupancy Fee: 5% (N.J.S.A. 54:32D-1). Meadowlands Regional Assessment: 3% (Bergen Co.).

Operating a short-term rental in Paramus violates Chapter 322 Article II of the Borough Code and is subject to a maximum civil fine of $1,250 per adjudicated violation, without regard to intent or knowledge. Enforcement is handled by the Building Code Official, Fire Official, Health Department, and other Borough code officials. Failure to collect or remit state-level transient accommodation taxes is a separate violation enforced by the New Jersey Division of Taxation and can result in back taxes, interest, and statutory penalties under Title 54.

Compared to other cities, Paramus takes a harder line on taxes & fees. The enforcement and penalty structure reflects that.

Noise Rules

Because short-term rentals are banned in Paramus under Chapter 322 Article II of the Borough Code, there are no STR-specific noise rules. Any guests who are nonetheless present at an unlawful STR must comply with the borough's general noise ordinance, Chapter 309 of the Paramus Code, which prohibits loud or disturbing noise between 11:00 p.m. and 7:00 a.m. and uses a 50-foot plainly-audible standard for amplified sound. Recurring noise complaints can also be cited as evidence of an unlawful STR use under Chapter 322.

Key details: STR Status: Prohibited (Ch. 322, Art. II). Quiet Hours: 11 PM - 7 AM. Noise Code: Paramus Code Ch. 309. Amplified-Sound Standard: Plainly audible at 50 feet. Contractor Hours: 7 AM - 7 PM (residential).

Noise violations under Chapter 309 are enforced by the Paramus Police Department and prosecuted in municipal court, with fines set by the Borough's general penalty schedule. A separate Chapter 322 Article II violation for operating or facilitating an unlawful short-term rental carries a maximum civil fine of $1,250 per adjudicated violation. The owner, advertiser, host, and platform user may all be liable, and each day a violation continues may be treated as a separate offense for nuisance abatement purposes.

Compared to other cities, Paramus takes a harder line on noise rules. The enforcement and penalty structure reflects that.

Parking Rules

Paramus has no STR-specific parking rule because short-term rentals are prohibited entirely under Chapter 322 Article II of the Borough Code. Any guest vehicles at an unlawful STR are subject to the borough-wide overnight parking ban, which prohibits on-street parking between 2:00 a.m. and 5:00 a.m. on any Borough street. Off-street parking standards for residential properties are set by Chapter 429 (Zoning), not by an STR ordinance.

Key details: STR Status: Prohibited (Ch. 322, Art. II). Overnight Street Parking Ban: 2 AM - 5 AM borough-wide. Resident Overnight Permit: About $120/year (residents only). Guest Permits: Not available for STR guests. Off-Street Parking Code: Paramus Code Ch. 429 (Zoning).

Parking on a Paramus street between 2:00 a.m. and 5:00 a.m. without a valid resident overnight permit is a traffic violation enforced by the Paramus Police Department and is subject to ticket and tow under the Borough's general traffic schedule. A separate Chapter 322 Article II violation for operating or facilitating a prohibited short-term rental carries a maximum civil fine of $1,250 per adjudicated violation; recurring guest-parking complaints can be cited as evidence of the unlawful STR use. Driveway-blocking and fire-hydrant violations carry separate state-traffic-code penalties.

This is not one of those rules that cities tend to ignore. Paramus actively enforces its parking rules requirements.

Permit Requirements

Paramus prohibits the rental, advertising, or use of any dwelling unit for periods of 30 days or less, effectively banning Airbnb-style short-term rentals throughout the borough under Chapter 322 of the Borough Code.

Key details: Minimum Rental Term: More than 30 days. Code Reference: Chapter 322. Adopting Ordinance: Ord. No. 2016-25. Effective Date: October 18, 2016.

Hosts who advertise or operate rentals under 30 days face borough code enforcement action, fines under Β§ 1-15 penalty provisions, and potential daily violation penalties for each day a listing is offered or occupied unlawfully.

This is not one of those rules that cities tend to ignore. Paramus actively enforces its permit requirements requirements.

The Bottom Line

Paramus is tougher than many cities when it comes to short-term rentals. Out of the 4 rules covered here, 4 are rated strict. If you are a homeowner, renter, or business owner in Paramus, take the time to understand these requirements before they become a problem. Most violations come with fines, and some repeat violations can escalate.

All of the above reflects Paramus's municipal code as of our last review. If you need specifics on fines, exemptions, or filing requirements, the detailed ordinance pages linked above have the full breakdown.