Passaic, NJ Rental Property Rules: Rent Control (2026)
Rent control rules in Passaic, NJ, also known as rent stabilization or rent cap ordinances, limit annual rent increases and protect tenants from displacement.
Key Facts
- Current cap
- 3% per 12-month period (§ 231-23)
- Sunset
- 6th anniversary of 2025 ordinance
- Board
- 3 regular + 3 alternate members, 4-yr terms
- Appeal window
- 20 days to Municipal Council
- New-construction exemption
- Post-1996 units, up to 30 years
- Max penalty
- $1,000 fine / 90 days jail
Summary
Passaic runs municipal rent control under Chapter 231, capping most multi-dwelling rent increases at 3% per 12 months through the sixth anniversary of a 2025 ordinance, plus a limited pass-through for property tax increases. A three-member Rent Leveling Board hears applications and appeals.
Notwithstanding any other provision of this chapter, from the effective date of this section, up until the sixth anniversary of the effective date of this section, it shall be unlawful for any landlord of a multiple-dwelling housing space or dwelling unit to demand, receive or collect any rental increase more than once in any 12-month period; or, in situations in which a lease for a period of time greater than 12 months is involved, no landlord shall demand, receive or collect any rental increase more than once in a 12-month period and any rent increase shall be restricted to a maximum of 3% plus a fee derived from any pro rata share of property tax increases incurred in that calendar year... The landlord may increase the base rent on each annual anniversary date of each tenancy by a maximum of 3%.
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: rev 4978046; v41 updated 2026-07-01; through 07-01-2026).
Full Breakdown
Chapter 231's original 1986 scheme let landlords raise base rent annually by the CPI for the New York-Northeastern New Jersey area, capped at $25 per month (§ 231-4). That structure was superseded for six years by § 231-23, "Rent Stabilization of 2025" (added January 7, 2025 by Ord. No. 2474-24, amended by Ord. Nos. 2476-25 and 2494-25), which limits landlords to one rent increase per 12 months, capped at 3%, plus an itemized surcharge equal to the tenant's pro rata share of any municipal property-tax increase (§ 231-23A(1)).
Housing built after 1996 is exempt for up to 30 years or the life of its original mortgage amortization, whichever is shorter, but landlords must give tenants written notice of that exemption (§ 231-23A(3)). A three-member Rent Leveling Board, one landlord, one tenant and one expert or homeowner, all Passaic residents serving four-year terms, decides hardship increases, capital-improvement surcharges and service-reduction applications within 60 days of filing (§ 231-8, § 231-9). Either party can appeal a Board decision to the Municipal Council within 20 days (§ 231-10). 3). New tenant registration under § 231-24 (added September 2, 2025) is now a precondition to any rent increase.
Violations & Fines
§ 231-14 makes any violation of Chapter 231, or a willful material misstatement to the Rent Leveling Board, punishable by a fine of up to $1,000 or up to 90 days' imprisonment, or both, with each affected tenancy counted as a separate violation. A landlord who withholds a required property-tax refund pass-through under § 231-17 owes an additional $100 per day the refund is late.
Frequently Asked Questions
Does Passaic have rent control?
Can landlords pass through property tax increases?
Which units are exempt from Passaic rent control?
Who decides rent increase disputes?
Sources & Official References
Other rules in Passaic
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Rent Control in Nearby Cities
How other cities in Passaic County handle rent control.