Short-term-rental rules
Can you Airbnb in Paterson, NJ?
Researched and reviewed by Jake Lee, FounderCurrent as of July 2026How this atlas is maintained
Paterson has no citywide STR permit or license, but a 2024 ordinance bans unattended (non-owner-present) short-term rentals of 28 days or fewer inside a defined Eastside zone bounded by 11th Avenue, East 43rd Street/McLean Boulevard, 20th Avenue, and Vreeland Avenue/East 33rd Street. Inside that zone a typical whole-home Airbnb is prohibited; hosting is only allowed in an owner-occupied home where the owner is present during stays. Elsewhere in the city STRs are not specifically prohibited, though general rental rules apply, including a certificate of re-rental approval before each new tenancy and annual property registration.
What the rules say in Paterson
- Ord. No. 24-023 (adopted 4-9-2024) added Chapter 275, Article II, defining a short-term rental as use of a dwelling unit for occupancy by someone other than the owner or permanent resident for 28 or fewer consecutive days, advertised or held out to transient occupants (§ 275-17).
- § 275-18 prohibits unattended short-term rentals within the area bounded on the north by 11th Avenue (East 33rd to East 43rd Street), on the east by East 43rd Street continuing along McLean Boulevard, on the south by 20th Avenue, and on the west by Vreeland Avenue continuing along East 33rd Street. Exception: an owner-occupied home where the owner is present (physically present in the home for a substantial portion of every day of the rental).
- Enforcement is by the Police Department or other city divisions; violations carry fines up to $2,000 (per N.J.S.A. 40:49-5 limits) and/or up to 90 days imprisonment, with each day a separate offense (§ 275-19), and liability extends to the owner, lessor, or lessee and transient occupants (§ 275-20).
- Outside the banned zone, a full-text search of the codified Paterson code returns no other short-term rental provisions: no citywide STR permit, license, day cap, or minimum stay.
- General rental rules still apply citywide: Chapter 175 requires a certificate of re-rental approval, with a vacant-unit inspection within 30 days before occupancy, before new tenants may occupy rental housing (owner-occupied two-family homes exempt).
- The city's Rent Leveling office (Chapter 381-4) requires property owners to submit an annual Property Registration Form; rent leveling covers dwellings with two or more rented apartments and exempts hotels, motels, and licensed rooming houses.
Sources: Paterson Code Ch. 275 Housing Standards, Art. II Short-Term Rentals (eCode360); Paterson Code Ch. 175 Certificates of Re-Rental Approval and Compliance (eCode360); City of Paterson, Rent Leveling division (official city site). Last reviewed 2026-07.
How short-term rentals are regulated in New Jersey
- New Jersey has no single statewide short-term-rental ban. Instead, each municipality sets its own rules through local ordinances, which is why neighboring Bergen towns can differ completely.
- Statewide, short-term rentals are generally subject to NJ Sales Tax and the State Occupancy Fee (and, in some areas, local taxes) on stays under 90 days, unless booked through certain channels that collect on the host's behalf.
- Common municipal controls include registration or permits, owner-occupancy requirements, minimum-stay rules, caps on rental nights, and zoning limits on which districts allow short-term use.
- Rules change. An ordinance can be added or amended at any time. Always confirm the current rule with the municipality before listing.
Paterson short-term-rental FAQ
Can I run a short-term rental (Airbnb) in Paterson, NJ?
Paterson has no citywide STR permit or license, but a 2024 ordinance bans unattended (non-owner-present) short-term rentals of 28 days or fewer inside a defined Eastside zone bounded by 11th Avenue, East 43rd Street/McLean Boulevard, 20th Avenue, and Vreeland Avenue/East 33rd Street. Inside that zone a typical whole-home Airbnb is prohibited; hosting is only allowed in an owner-occupied home where the owner is present during stays. Elsewhere in the city STRs are not specifically prohibited, though general rental rules apply, including a certificate of re-rental approval before each new tenancy and annual property registration.
Do I need a permit or registration to run an STR in Paterson?
Outside the banned zone, a full-text search of the codified Paterson code returns no other short-term rental provisions: no citywide STR permit, license, day cap, or minimum stay.
What taxes apply to a short-term rental in Paterson, New Jersey?
Short-term stays in New Jersey are generally subject to NJ Sales Tax and the State Occupancy Fee (plus any local fees), unless collected for you by the booking platform. A tax professional can confirm what applies to your property.
Can Palisade Stays manage a short-term rental in Paterson?
Palisade Stays launches and runs short-term rentals for owners end to end. Where a short-term rental works in Paterson, we can handle setup, listing, guest operations, and turnovers. Start with a quick property-fit assessment.
Thinking about a short-term rental in Paterson?
Palisade Stays launches and runs short-term rentals for owners end to end. Tell us about your property and we'll see if it's a fit.
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