Buying In Paterson, NJ
Sell Your Commercial Property In Paterson, NJ
Skyline Capital Investments buys commercial apartment buildings of 5+ units in Paterson and across Passaic County — listed or off-market, stabilized or value-add. Get clear feedback on your deal, typically within 48 hours.
- Clear feedback on your deal, typically within 48 hours
- 5 to 100+ units, stabilized or distressed, listed or off-market
- Owners, agents, and brokers welcome — every conversation is confidential
We buy:Tired landlordsEstate & trust sales1031 exchangesDeferred maintenanceHigh vacancyPartnership splits
Areas We Target: Downtown Paterson · Eastside · Riverside · Totowa — Passaic County, NJ
Market Snapshot
Renter Demand In Paterson
Paterson, NJ is a renter-majority city of 158,735 residents in Passaic County, where 73.1% of occupied homes are rented under ACS 2020-2024. Owners who sell commercial property in Paterson, NJ face a market of older buildings, rent leveling under Chapter 381 and a 5.335 general tax rate.
This profile uses Census, HUD, state and city sources to show rents, taxes and landlord rules in Paterson. Multifamily buildings with 5+ units hold 25.2% of the city's homes, so the apartment market is deep.
Health care and education jobs
Educational services and health care employ 13,531 of 67,993 employed Paterson residents, or 19.9%, per ACS 2020-2024 table DP03.Transit commuters
Public transportation carries 4,878 of 66,083 Paterson workers, 7.4%, to work, per ACS 2020-2024 table B08301.Great Falls mill heritage
The National Park Service says Paterson was established in 1792 as America's first planned industrial city, around the Great Falls.Our Buy Box
What We Buy In Paterson
Asset Type
Multifamily, 5+ Units
Apartment buildings and income-producing residential.
Size
5 – 100+ Units
Sweet spot: 15–25 units.
Condition
Stabilized To Distressed
Value-add, mismanaged, and high-vacancy properties welcome.
Deal Types
Listed Or Off-Market
Direct-to-owner, pocket listings, portfolios.
Local Market Data
Paterson Apartment Market
Figures gathered October 2026 from public market data.
Who rents in Paterson
Renters occupy 73.1% of Paterson's 49,865 occupied homes, per ACS 2020-2024 table B25003. New Jersey's renter share is 36.2%, per the state table.
Buildings with 5+ units hold 25.2% of Paterson homes, per table B25024. Homes built before 1980 make up 76.7% of the stock, per table B25034.
Rents and affordability in Paterson
Paterson's median gross rent is $1,548 a month, below New Jersey's $1,720, per table B25064. Among Paterson renters, 56.0% spend 30% or more of income on rent, per table B25070.
Under HUD's FY2027 fair market rents for the Bergen-Passaic, NJ HUD Metro FMR Area, a two-bedroom unit is $2,282.
| Unit size | HUD FY2027 FMR |
|---|---|
| Efficiency | $1,772 |
| One-bedroom | $1,987 |
| Two-bedroom | $2,282 |
| Three-bedroom | $2,771 |
| Four-bedroom | $3,497 |
Property taxes in Passaic County: a $2M Paterson example
Paterson's 2025 general tax rate is 5.335 per $100 of assessed value, per the NJ Division of Taxation. Its effective tax rate is listed at 2.421. The Passaic County 2025 Abstract of Ratables sets Paterson's equalization ratio at 45.68%.
At that ratio, a $2,000,000 building would assess near $913,600, for a yearly bill of about $48,741. Owners who sell commercial property in Paterson, NJ also owe the realty transfer fee, which is $21,675 on a $2,000,000 deed. The state's added 1% graduated fee, $20,000 at that price, applies to Class 4A commercial parcels, not industrial or apartment ones.
Landlord rules in Paterson
Paterson's Rent Leveling office enforces Chapter 381, and owners file an annual property registration form. The city's rent leveling guide limits routine annual increases to 5% with 30 days' written notice. Owners who sell commercial real estate in Paterson, NJ should know Chapter 381 exempts buildings with initial certificates of occupancy issued after 1976.
New Jersey caps security deposits at 1 1/2 times one month's rent under N.J.S.A. 46:8-21.2. Deposits are returned within 30 days after a lease ends.
What it means for an owner in Paterson
Paterson combines a 73.1% renter share with a 2.421 effective tax rate, so net income depends on rent control and tax math. Anyone planning to sell commercial property in Paterson, NJ can budget $48,741 in annual tax and $21,675 in transfer fees on $2,000,000.
Skyline Capital Investments buys 5+ unit apartment buildings. To sell your apartment building in Paterson, run our cap rate calculator, then see how we buy apartment buildings.
Local Knowledge
What Shapes A Paterson Offer
More about selling in New Jersey →Investing in Paterson? See apartment syndications in Paterson →
- Selling commercial property in Paterson means pricing older stock: 76.7% of homes predate 1980, per ACS 2020-2024.
- Rent leveling in Paterson limits routine annual increases to 5%; buildings first occupied after 1976 are exempt.
- To sell commercial real estate in Paterson, NJ, budget $21,675 in realty transfer fees on $2,000,000.
Seller Guides
Selling In Paterson? Common Situations We Handle
Learn More
Taxes & Rules For Paterson Property
The New Jersey rules that shape any deal in Paterson: what a sale costs in tax, how buildings are taxed, what landlords must follow, and how to defer gains.
Paterson Seller FAQ
What taxes apply when I sell commercial property in Paterson, NJ?
Sellers pay New Jersey's realty transfer fee, $21,675 on a $2,000,000 deed. Class 4A commercial parcels add a 1% graduated fee, $20,000 at that price. Paterson's 2025 general tax rate is 5.335 per $100 of assessed value.
How do I sell commercial real estate in Paterson, NJ with rent-controlled tenants?
Chapter 381 covers dwellings with two or more rented apartments, limits routine annual increases to 5%, and exempts buildings with certificates of occupancy issued after 1976. Owners file an annual property registration form with the Rent Leveling office.
How much of Paterson is renter-occupied?
Renters occupy 73.1% of Paterson's 49,865 occupied homes under ACS 2020-2024. Passaic County's renter share is 46.9%, and New Jersey's is 36.2%. That makes Paterson one of the most renter-heavy markets in the state.
Do buyers want Paterson apartment buildings?
Buildings with 5+ units hold 25.2% of Paterson homes, ahead of New Jersey's 21.8%. HUD's FY2027 fair market rent for a two-bedroom is $2,282, 47% above Paterson's $1,548 median gross rent. Owners who sell multifamily property in Paterson can show that gap.
What is the effective property tax rate in Paterson?
The NJ Division of Taxation lists Paterson's 2025 effective tax rate at 2.421, with an equalization ratio of 45.68% and a general tax rate of 5.335 per $100. A $2,000,000 building would assess near $913,600.
Will you buy a Paterson property that needs work or has high vacancy?
Yes. We regularly evaluate value-add, mismanaged, and distressed multifamily properties and underwrite them as they are today — no repairs or lease-up required before selling.
How does a sale to you work in Passaic County?
Send the address, unit count, and any financials. We give feedback, then a written letter of intent if it fits, followed by diligence and a closing date that works for you.
Is it possible to sell rental property in Paterson without evicting tenants?
It is. We buy apartment buildings occupied, and tenants stay on their current leases. Skyline Capital Investments is a commercial real estate buyer of 5+ unit buildings, so occupied properties are the norm for us.
How fast can I sell my apartment building in Paterson?
Most owners get clear feedback within 48 hours of sending the address, unit count, and a rent roll. Closing is typically set around your timeline, including extra time for a 1031 exchange.
Submit A Deal
Get An Offer Review In Paterson
A few details are enough to start. We respond to every Paterson submission, including off-market and pocket listings.
