The bill amends New Jersey's tax sale law to enhance the processes related to tax lien foreclosures and protect the rights of property owners. Key modifications include extending the five-year redemption period for properties involved in bankruptcy, allowing municipalities to refund premiums to lienholders under specific conditions, and affirming that the right to redeem remains until a court judgment bars it. The bill also introduces provisions enabling property owners to request a judicial sale or Internet auction to maintain equity in their properties, along with outlining the necessary notifications and certifications for these actions.

Additionally, the bill clarifies the allocation of costs and attorney fees in foreclosure actions initiated by municipalities, stating that all incurred costs will be added to the redemption amount. It mandates that property owners receive clear written information about their rights during foreclosure, including the option to request a judicial sale. The bill ensures that surplus funds from judicial sales or auctions can be claimed by tax sale certificate holders for unpaid costs and fees, thereby safeguarding the financial interests of lienholders. The act takes effect immediately and applies to tax liens for which the right of redemption has not been foreclosed as of the effective date.

Statutes affected:
Introduced: 54:5-97.1, 54:5-104.59, 54:5-104.64
Advance Law: 54:5-97.1, 54:5-104.59, 54:5-104.64
Pamphlet Law: 54:5-97.1, 54:5-104.59, 54:5-104.64