By: Richard L. Smith
New Jersey officials are taking new steps to address rising housing costs by targeting hidden rental fees and limiting how much landlords can charge prospective tenants to apply for housing.
According to information released by the New Jersey Attorney General’s Office, Attorney General Jennifer Davenport is leading a bipartisan coalition of 27 attorneys general urging the Federal Trade Commission to establish federal rules aimed at eliminating deceptive and undisclosed rental fees.
The coalition is calling on the FTC to create clear standards requiring landlords to disclose the full cost of rent upfront and to prohibit misleading or unfair fee practices in rental transactions.
Officials say hidden fees can drive up housing costs, create financial strain for renters, and put transparent landlords at a disadvantage.
The effort includes attorneys general from states across the country and reflects growing concern over affordability in high-cost rental markets like New Jersey.
At the same time, state officials are preparing to enforce a new law aimed at protecting renters locally. Beginning May 1, 2026, certain landlords in New Jersey will be prohibited from charging more than $50 for rental application fees.
Guidance issued in coordination with the New Jersey Division of Consumer Affairs makes clear that the cap applies to all related costs, including administrative and screening fees.
Officials also warned that landlords who attempt to collect fees for unavailable units, charge applicants who are unlikely to qualify, or use excessive applications to generate revenue could face violations under the state’s Consumer Fraud Act.
State authorities say enforcement of the new cap will begin immediately once the law takes effect, with landlords urged to review their practices to ensure compliance.
The combined federal and state efforts are part of a broader push to increase transparency in the rental market and reduce financial barriers for residents seeking housing across New Jersey.