NJ A1412

Prohibits short-term rentals of transient accommodations (such as Airbnb, HomeAway, and FlipKey listings) in exclusively residential zones unless the municipality specifically authorizes them through zoning ordinances.

Limits municipalities to authorizing short-term rentals in no more than 25 percent of their total land area.

Establishes civil penalties for violations: up to $250 for first offense, $500 for second offense, and $1,000 for third and subsequent offenses.

Requires penalty revenues to be deposited into the municipality's affordable housing trust fund (or the New Jersey Affordable Housing Trust Fund if no local fund exists) after deducting administrative costs.

Defines "transient accommodation" to include professionally managed units and rentals obtained through online marketplaces, while exempting traditional hotels, dormitories, hospitals, nursing homes, campsites, and leases of 90+ consecutive days.