NJ A3772

Property owners facing tax lien foreclosure now have the right to demand, in writing to the Superior Court before final judgment, that the property be sold through a judicial sale or Internet auction via the county sheriff's office to preserve any equity in the property

If the owner does not request a judicial sale or Internet auction, the tax lien holder may foreclose without a sale and the owner forfeits any claim to equity in the property; the sale price is conclusively presumed to be fair market value

Tax lien holders must provide written notice to property owners with the foreclosure complaint, prominently displayed in bold type, informing them of their right to request a judicial sale or Internet auction

Abandoned properties are exempt from the judicial sale/Internet auction requirements and may be foreclosed immediately without the two-year waiting period normally required for non-municipal tax lien holders

Premium payments held by tax collectors must be refunded to lienholders if a writ of execution for judicial sale or Internet auction is sent to the sheriff's office within five years of the original tax sale date; any premium due to escheat to municipalities in 2024 is extended one year