New Jersey Real Estate Market Trends & Analysis

The New Jersey economy continues to struggle. For five consecutive years, in fact, New Jersey has ranked as the most fiscally unsound state in the country. Due, in large part, to unfunded pension liabilities and irresponsible retiree health care obligations, the entire state has had a hard time making up for the ground it lost over the last recession. As a result, one industry has had a particularly hard time getting back on its feet: real estate.

The New Jersey real estate market has yet to replicate the rest of the county’s momentum. It is worth noting, however, that the obstacles facing real estate in New Jersey have made the majority of homes more affordable. Combined with the nation’s highest foreclosure rate, local affordability has awarded buyers and investors more opportunities to acquire deals at attractive prices.

New Jersey Real Estate Fees & Regulations

Real Estate

Closing Conducted by: Title Agents; North New Jersey: Attorneys
Conveyance: Bargain-and-Sale Deed

Foreclosure Procedure

Primary Foreclosure Method: Judicial
Process Period: 3 - 10 months
Notice of Sale: Sheriff
Redemption Period: 6 Months

Taxes

Income Tax: 1.4% - 8.97%
Corporate Tax: 9%
Sales Tax: 7.00%
Estate Tax: 16%
Inheritance Tax: 0.16%
Median Property Tax: 1.89%
Property Taxes by County: http://www.tax-rates.org/new_jersey/property-tax#Counties

Average Transactional Costs

Closing Cost: $2,625.00
Transfer Fee: 0.4% - 1.21%; Homes over $1 million 1%; Commercial sales over $1 million 0.1%
Origination Fee: $1,891.00

Overview

  • Median Home Value: $328,200
  • 1-Year Appreciation Rate: +2.6%
  • Median Home Value (1-Year Forecast): +0.7%
  • Median Rent Price: $2,000
  • Price-To-Rent Ratio: 13.67
  • Average Days On Market: 102
  • Unemployment Rate: 3.2% (latest estimate by the Bureau Of Labor Statistics)
  • Population: 8,908,520 (latest estimate by the U.S. Census Bureau)
  • Median Household Income: $76,475 (latest estimate by the U.S. Census Bureau)
  • Percentage Of Vacant Homes: 10.00%
  • Foreclosure Rate: 1 in every 1,192

New Jersey Foreclosure Trends & Statistics

Tax Lien Investing

  • Tax Lien or Deed: Tax Lien state (Also has some Tax Deed sales)
  • Interest Rate: 18% (plus penalties)
  • Redemption Period: 2 years

New Jersey Online Tax Lien Auction

Listed below are auctions for numerous counties in New Jersey. Click on the link for the county in which you would like to participate. You can also participate in a practice auction, which is listed first to get a feel for how the auctions work.