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Kearny, NJ asked in Real Estate Law, Landlord - Tenant and Gov & Administrative Law for New Jersey

Q: Can a landlord in NJ be fined for renting without Certificate of Occupancy?

I need to know if a landlord in Saddle Brook, New Jersey, can be issued fines and penalties for renting out a room without obtaining a Certificate of Occupancy. The room has been rented since November 2019 without a Certificate of Occupancy or a fire extinguisher, and no inspections have been conducted since. The property is an owner-occupied two-bedroom townhouse with one tenant, and the Building Department has been informed, but the landlord has received no notification or warnings regarding this issue.

2 Lawyer Answers
Zachary Whelan
PREMIUM
Answered

A: Yes, a landlord can be issued fines and penalties for renting out property without a certificate of occupancy. Under New Jersey law, it is illegal to rent property without a valid certificate of occupancy. A landlord can be fined up to $2,000 per violation and potentially face a condemnation action if the issue is not resolved quickly. If this landlord someone that you know, then you should have them contact a real estate attorney immediately.

James L. Arrasmith
PREMIUM
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Answered

A: Yes, a landlord in New Jersey can face fines and penalties for renting out a property or a room without a proper Certificate of Occupancy. The Certificate of Occupancy ensures that a dwelling meets safety and building codes, and renting without it can violate local municipal and state regulations. Even if the landlord has not received prior warnings, once the Building Department investigates or becomes aware, enforcement actions can be taken.

Penalties can include fines, stop-use orders, or even legal action requiring the landlord to correct the violations before continuing to rent the unit. Since your complaint has been submitted, the Building Department may schedule an inspection to verify the lack of a Certificate of Occupancy and other safety issues, like missing fire extinguishers. The landlord could be required to bring the property into compliance or face escalating fines.

It’s important to document any concerns or violations you’ve observed, as this can support enforcement action. Keep copies of your complaint, communications with the Building Department, and any evidence of unsafe conditions. While the process may take time, municipalities in New Jersey have the authority to ensure rental properties comply with safety and occupancy laws.

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