Ask Experts Questions for FREE Help !
    simontlaw's Avatar
    simontlaw Posts: 2, Reputation: 1
    New Member

    Jul 4, 2007, 12:07 PM
    landlord occupy property
    I bought this single-family home with tenant occupied in March 2006. The tenant had a 2-year lease effective Feb. 1, 2005 to Jan. 31, 2007. This lease was expired on Jan 31, 2007 midnight. I did not realize the lease had expired until recently. Neither the tenant had requested the renewal. Now I decided not to renew the lease with them. I casually mentioned to the tenant that the lease had expired already. She told me that it was automatically renewed for another 2-year, per NJ State Law. Is this true? I read the lease agreement, it didn't specify automatic renewal after the current lease term ends. What is the legal procedure to repossess the house since the house is now under "Holdover by Lessees"? Will I be able to put this house for rent immediately after the repossession? Or is there a grace period before Lessees it for rent? The existing rent collected from this house is $690 per month. According to the current Fair Market Value, the rental for this 2-Bedroom single-family home in Trenton, NJ is about $850+. If the tenants refuse to move out, do I have to renew the lease with them? If so, can I increase the rent to FMV, which is $850?

    Thank you for your help and advises.
    LisaB4657's Avatar
    LisaB4657 Posts: 3,662, Reputation: 534

    Jul 4, 2007, 12:13 PM
    NJ law does not provide that a lease automatically renews. Instead it provides that a tenant becomes a month-to-month tenant when the lease term ends, at the same terms and conditions as the written lease.

    You can increase the rent with 30 days advance written notice but it cannot be an "unreasonable" increase. I'm not sure if an increase of $160 per month would be considered unreasonable by a judge, but it might be.

    Your choices are to terminate the tenancy by giving 30 days advance written notice and then leasing to a new tenant, or increasing this tenant's rent and hoping that a judge will not consider that increase unreasonable.

    If the current tenant is a good tenant then you may want to reach an agreement with her for an increase in rent that isn't necessarily fair market value but is still an increase. Maybe half? And maybe enter into a one year lease with her rather than a two year lease so that you're able to increase the rent again in another year.
    LisaB4657's Avatar
    LisaB4657 Posts: 3,662, Reputation: 534

    Jul 5, 2007, 01:52 PM
    You ARE obligated to offer the tenant a renewal but you are allowed to require "reasonable changes" in the renewal. Those can include an increase in rent, assessment of late fees, rules and regulations, etc.

    Check out New Jersey Landlord Tenant Security Deposits Evictions for more info on NJ landlord/tenant law. Also send away for the Truth in Renting booklet. You can find that info on that site.

Not your question? Ask your question View similar questions


Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.

Check out some similar questions!

Landlord selling property in midst of 2 year lease [ 10 Answers ]

So we entered into a 2 year lease (this was a renewed lease after having lived here for nearly a year) with our landlord here in Santa Clara County, California. This was in October of 06, so our lease is through October 2008, which is about 16 months from now. She recently (about 2 months...

Can property damage charges be dismissed if landlord tries overcharging you? [ 2 Answers ]

I received a bill from an apartment complex I used to live in for $910.74 for carpet damages caused by a pet. the original bill they sent me stated they were charging $1060.74 against my $150 deposit due to Carpet charges: ($1586.67/60 ms (life of carpet) = 26.44x37 ms of life= $978.28) plus...

Landlord Selling Property [ 2 Answers ]

I'm renting a house in CA. We moved in a few months ago and are on a 1 year lease. Everything has been going great, we pay rent on time, our landlord is very responsive when we have problems that need to be fixed. A few weeks ago he surprised us by saying he is putting the place up for sale and...

Landlord selling property in Pennsylvania [ 3 Answers ]

Hello, I am renting a townhouse in Harrisburg Pennsylvania with my lease ending August 2007. My landlord has decided to sell the property. I want to know: 1) If he sells the property, is the buyer still obligated to honor our lease (in other word can they throw us out before August)? 2)...

MO Landlord shows property with little/no notice [ 8 Answers ]

OK, my wife and I recently moved into a duplex in MO. We were made aware that the property was for sale, but were assured that the stipulation of the sale was to continue to the end of our lease. Since we moved in in Sept. they have showed the house about 3 time, not so bad right? but with each...

View more questions Search