A lease agreement is one of the most important documents in a landlord-tenant relationship. In New Jersey, having a detailed, legally compliant lease helps protect both parties and reduce the risk of misunderstandings or disputes. Whether you’re a first-time landlord or an experienced property manager, knowing what to include in your lease is critical. Below are the key elements that every lease agreement in New Jersey should contain.
Names and Addresses
Include the full legal names of all tenants who will live in the unit, as well as the name and contact information of the landlord or property manager. This is essential for communication and for serving legal notices if needed.
Property Description
Clearly state the address of the rental property, including the apartment or unit number. Be specific about what areas are included in the lease—such as parking spaces, storage rooms, basements, or garages.
Lease Term
The lease must identify whether it is a fixed-term lease (such as one year) or a month-to-month agreement. If it’s fixed-term, include the start and end dates. Also, state if and how the lease will renew after the term ends.
Rent Details
Spell out the monthly rent amount, the due date, and how rent should be paid (e.g., check, online payment, or direct deposit). Include:
- Late fees (must be reasonable)
- Grace periods (often up to 5 days in NJ)
- Fees for bounced checks
Be clear about what happens if rent is not paid on time.
Security Deposit
In New Jersey, landlords can charge up to 1.5 months’ rent for a security deposit. The lease should explain:
- The amount collected
- Where the deposit is held
- When and how it will be returned
- That tenants are entitled to interest each year
Landlords must return the deposit within 30 days after the lease ends, or 5 days if the tenant was forced to leave due to a disaster like a fire or flood.
Utilities and Services
List all utilities and who is responsible for each one—such as electricity, gas, water, trash removal, internet, and cable. This prevents confusion and disputes over utility payments.
Maintenance Responsibilities
Outline the landlord’s and tenant’s responsibilities for repairs and upkeep. State who handles plumbing issues, appliance maintenance, pest control, and outdoor care like snow removal or lawn mowing.
Rules and Restrictions
Include any property rules regarding:
- Smoking
- Pets (including pet fees)
- Quiet hours
- Use of shared spaces
- Parking
Setting clear rules helps avoid problems down the line.
Right to Entry
New Jersey law requires landlords to provide reasonable notice before entering a rental unit, usually 24 hours. The lease should mention acceptable reasons for entry, such as repairs, inspections, or emergencies.
Lead Paint Disclosure
For homes built before 1978, landlords must include a lead-based paint disclosure and provide tenants with an EPA-approved pamphlet about lead hazards. This is required by federal law.
Eviction and Lease Termination Terms
Explain the reasons the landlord can terminate the lease, such as:
- Nonpayment of rent
- Property damage
- Illegal activity
- Lease violations
Be sure to comply with the New Jersey Anti-Eviction Act, which protects tenants from being removed without legal cause.
Final Thoughts
A strong lease agreement is essential for a smooth and legal rental relationship in New Jersey. By including these key terms and complying with state laws, landlords can avoid costly legal issues while providing tenants with a clear understanding of their rights and responsibilities. For extra peace of mind, it’s wise to have a lease reviewed by a New Jersey attorney before it’s signed.