New Jersey Compliance Update: Fair Chance in Housing Act

On February 1, 2022, the New Jersey “Fair Chance in Housing Act” will go into effect. Passed on June 18, 2021, the Act states that landlords cannot require a prospective tenant to complete an application that inquires about a past criminal record until after extending a conditional offer.

The Act does allow for the landlord to withdraw a conditional offer upon conducting a background check. A landlord may consider if the applicant has ever been convicted of serious drug related charges and if they may also consider if the applicant is subject to a lifetime registration requirement under the New Jersey sex offender registry. In addition, changes to the law impact when a landlord may consider convictions for serious and violent crimes, indictable offenses and variances where penalties imposed result in lengthy prison sentences.

If the landlord rescinds the conditional offer, the applicant must receive a written notification of the reason for withdrawal and a notice that the applicant has the right to file a complaint with the Attorney General. Within 20 days of the notice, the applicant may request the information relied upon to rescind the conditional housing offer.

Ultimately, the law impacts how an applicant’s criminal history may and may not be considered and under which conditions a landlord may withdraw a housing offer to the applicant as well as the fines associated with any violations to these new rules.

If you operate properties in New Jersey, now is the time to review your leasing process and modify for the “Fair Chance in Housing Act” in advance of the February 1, 2022 deadline. VERO is fully compliant with the new mandate. VERO leasing experts are available to provide guidance and assist in ensuring compliance with the new law.

Please reach out to your VERO representative to learn more about the Act and discuss how to ensure your portfolio’s compliance.