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Bayonne, NJ Short-Term Rentals: Primary-Residence-Only Rule (2026)

Significant Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Ownership rule
Owner must occupy the STR or associated unit
Principal residence test
Tied to driver's license address, § 33-20.1.b
Eligible property types
Single-family, two-family, and small multi-unit dwellings
Entity owners
At least one principal/member must reside on-site
Enforcing agency
Dept. of Planning, Zoning, and Development
Grandfather exception
One pre-existing non-owner-occupied unit under § 33-20.2.h

Summary

In the City of Bayonne, most short-term rentals must be owner-occupied. City Code § 33-20.1.b defines "owner-occupied" as the owner living in the rental unit or in an associated principal unit on the same lot, with "principal residence" tied to the address on the owner's driver's license. Non-owner-occupied rentals face far tighter limits under § 33-20.2, and most classes require an owner present.

OWNER-OCCUPIED Shall mean the owner of the property who resides in the short-term rental property, or in the principal residential unit with which the short-term rental property is associated on the same lot and identifies same as his or her principal residence as that term is defined in this section. ... PRINCIPAL RESIDENCE Shall mean the address: (1) where at least one of the property owners spends the majority of his or her non-working time; (2) which is most clearly the center of his or her domestic life; and (3) which is identified on his or her driver's license or State identification card as being his or her legal address. ... Short-term rentals shall only be permitted to be conducted in the following classifications of property in the City of Bayonne: ... Individually or collectively owner-occupied single-family residences; and

Full Breakdown

Bayonne's short-term rental ordinance (§ 33-20, added by Ord. No. O-24-12 on February 14, 2024, and amended by Ord. No. O-24-37 on June 12, 2024) restricts most short-term rentals in the City of Bayonne to owner-occupied property. City Code § 33-20.1.b defines "owner-occupied" as the owner residing in the short-term rental property itself, or in the principal residential unit associated with it on the same lot, and identifying that unit as a "principal residence." The code defines principal residence narrowly: the address where the owner spends most of his or her non-working time, the center of the owner's domestic life, and the address on the owner's driver's license or State identification card.

Under § 33-20.2.b, eligible STR classifications include individually or collectively owner-occupied single-family homes, one unit of a two-family home where the other unit is owner-occupied, and up to two units in a three- or four-unit multiple dwelling where another unit is owner-occupied. A single-family home may also run a bed-and-breakfast of up to three rooms if the owner occupies the remainder as a principal residence, per § 33-20.2.b.6. If the owner is an entity rather than an individual, § 33-20.1.b requires at least one principal or member of that entity to reside in the unit and claim it as a principal residence.

Applicants must document this at permitting: § 33-20.4.a requires a copy of the owner's driver's license or State ID confirming the STR is the owner's principal residence, along with a sworn acknowledgment of compliance filed with the Bayonne Department of Planning, Zoning, and Development.

Violations & Fines

Operating or advertising a short-term rental that doesn't meet Bayonne's ownership requirements violates Article XX. Under § 33-20.7, the Bayonne Municipal Court can fine the STRP owner, responsible party, and rental agent up to $2,000 per violation, but not less than $100 per violation per day the violation continues, after a 30-day cure period and an optional hearing before a municipal judge.

Frequently Asked Questions

Can I short-term rent a house I don't live in?
Only under a narrow exception. Bayonne generally limits short-term rentals to owner-occupied properties: the code defines "owner-occupied" as the owner residing in the STR unit or an associated principal unit on the same lot, and "principal residence" ties to where the owner actually lives and what address appears on their driver's license, per City Code § 33-20.1.b.
What proof does Bayonne require of principal residence?
Applicants must submit a copy of their driver's license or State identification card confirming the STR address is their principal residence, plus a sworn acknowledgment of compliance, under City Code § 33-20.4.a.
Are any non-owner-occupied short-term rentals allowed in Bayonne?
A narrow grandfather clause in § 33-20.2.h lets an owner who was already operating two STRs when the ordinance passed keep one non-owner-occupied property, provided a designated resident still occupies the associated unit as a principal residence.

Sources & Official References

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