New Law Requires Owners of Foreclosed Properties in New Jersey to Notify Municipality and Association
January 23, 2012
Owners of foreclosed residential properties in New Jersey are now required to notify both the municipality and the association or common interest community where the property is located when they take title to such a property by way of sheriff’s sale or deed in lieu of foreclosure. Owners taking title to foreclosed properties will now have to provide their names and addresses information as well as a designated agent within New Jersey if they are outside of the state. This change in the law will make it easier for community associations to contact the new owners to address issues with the unit, whether related to necessary repairs, access to the unit, or collection-related problems.
On January 18, 2012, Governor Chris Christie signed this legislation into law, which takes effect immediately. The language of the legislation provides in pertinent part that:
The owner of any non-owner occupied residential property who takes title to the property as the result of a sheriff’s sale or deed in lieu of foreclosure … shall provide notice, within 10 business days, to the municipal clerk, or any other designated municipal official, of the municipality wherein the property is located and to any association or common interest community, of which the residential property is a part… providing the name and address of the owner.
CAI-NJ’s Legislative Action Committee, of which Hill Wallack LLP Partner Ronald L. Perl, Esq. is a member, was instrumental convincing the bill’s sponsors to amend the language above to include specific notification to associations and common interest communities.
You can view the entire text of the new law here.
For more information on this issue or any other issue concerning your community association, please contact one of our Community Associations attorneys.