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Elizabeth, 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

Occupancy test
3-part principal-residence definition, §5.90.010
Proof required
Driver's license, voter reg, or state ID
Sworn certification
Required in license application, §5.90.040(B)(4)
False statement penalty
License revocation, 1-year reapplication bar
Daily fine
$250-$2,000 per day, §5.90.060(D)

Summary

Elizabeth only allows a short-term rental in a dwelling unit that is the owner's actual principal residence, defined under Code Section 5.90.010 as the address where the owner spends most non-working time, the center of the owner's domestic life, and the address on the owner's driver's license, voter registration, or state ID.

"Owner-occupied" shall mean the owner of the property resides in the short term rental property, or in the principal residential unit with which the 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, and (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, voter registration or state identification card as being his or her legal address. All the above requirements must be met in order for an address to constitute being a principal residence for purposes of this section.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 31).

Full Breakdown

90 defines a short-term rental (STR) as an accessory use, meaning the unit rented to transient guests must be tied to a dwelling the owner actually occupies. 010 defines 'owner-occupied' to mean the owner resides in the STR property itself, or in the principal residential unit associated with the STR property on the same lot, and identifies that address as his or her principal residence. The same section defines 'principal residence' with a three-part test: it must be the address where the owner spends the majority of non-working time, it must be the clear center of the owner's domestic life, and it must be the address shown on the owner's driver's license, voter registration, or state identification card.

All three elements must be met or the address does not qualify. If the owner is an entity rather than an individual, at least one principal or member of that entity must personally satisfy the same principal-residence test. 040(B)(3)-(4), every STR license applicant must submit a copy of their driver's license, voter registration, or state ID confirming the property is their principal residence, and must sign a sworn acknowledgement of compliance with that requirement or of an entitlement to an exemption from it. 020(B) separately bars STR use in any unit whose rent is set by a government agency, an owner/developer affordability agreement, or the city's own rent control chapter.

Violations & Fines

Renting, operating, or advertising a unit as a short-term rental that is not the owner's principal residence, or making a false sworn statement about occupancy on the license application, is grounds for license denial or revocation under Section 5.90.060(B), and a fraud-based revocation bars a new application for at least one year. Violations of Chapter 5.90 also carry fines of $250 to $2,000 per day under Section 5.90.060(D).

Frequently Asked Questions

Can I rent out a house in Elizabeth I don't live in as a short-term rental?
No. Section 5.90.010 defines a lawful STR as 'owner-occupied,' meaning you must live in the rental unit itself or in an associated unit on the same lot and treat that address as your principal residence. A second home or investment property where you don't actually live cannot get an STR license.
What proof of residency does Elizabeth require for an STR license?
Under Section 5.90.040(B)(3)-(4), you must submit a copy of your driver's license, voter registration, or state identification card showing the property as your legal address, and sign a sworn statement certifying that the STR property is your principal residence or that you qualify for an exemption.
What counts as my 'principal residence' under this ordinance?
Section 5.90.010 requires all three: the address where you spend most of your non-working time, the clear center of your domestic life, and the address listed on your driver's license, voter registration, or state ID. If any one of those doesn't match, the address doesn't qualify as your principal residence.

Sources & Official References

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