NJ A2037

Municipalities may allow dwelling purchasers to apply for short-term tax exemptions or abatements for improvements made by prior owners, extending the deadline beyond the standard 30-day post-completion requirement

Purchasers in eligible municipalities can file applications within one year of the improvement completion date or one year from the purchase date, whichever is later

Property owners who complete dwelling improvements in rehabilitation areas but do not apply for tax exemptions must notify subsequent purchasers of this fact when entering a sales contract

The five-year exemption or abatement period may begin from either the project completion date or the property purchase date

Addresses situations where property "flippers" improve dwellings without applying for available tax benefits, leaving new owners facing unexpected tax increases when assessments reflect the improvements