NJ S791

Bill

Prohibits common interest communities from penalizing members who place unit into living, revocable trust fund or classifying placement as title transfer.

Introduced
01/13/2026

In Committee
01/13/2026

Crossed Over

Passed

Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill would provide that the placement of the unit, or in the case of a cooperative, shares or proprietary lease, and assets, of an association member of a homeowners' association, condominium association, cooperative, or other planned real estate development (association), into a living, revocable trust fund would not constitute a title transfer for the associations' purposes. Under current State law, the governing documents of some associations could enable the association to derive a financial benefit when an association member sells or transfers a unit, assets, or shares or proprietary lease, including placing their unit into a living, revocable trust. This bill would protect association members and senior citizens living in an association by prohibiting the association from charging any fees due on transfer of ownership by placing the property in a living, revocable trust fund. The bill would permit an association to charge a fee that is reasonably related to the costs incurred by the association in connection with a transfer of ownership.

AI Summary

This bill prohibits common interest communities, such as homeowners' associations and condominiums, from penalizing members who place their property into a living, revocable trust fund by treating it as a title transfer. A "living, revocable trust fund" is a legal arrangement where a person (the settlor) transfers assets to a trustee to manage for the benefit of beneficiaries, and the settlor can change or cancel the trust during their lifetime. Currently, some community associations' governing documents, which include their recorded declarations, bylaws, and rules, allow them to collect fees, like transfer fees or capital contributions, when a member sells or transfers their property, and this could include placing it into a trust. This bill clarifies that putting a unit or shares in a cooperative into such a trust is not a title transfer for the purpose of these fees, thereby protecting residents, especially seniors, from unexpected charges. However, associations can still charge a reasonable fee to cover their actual administrative costs associated with processing such a transfer.

Committee Categories

Housing and Urban Affairs

Sponsors (1)

Bob Singer (R)*,

Last Action

Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee (on 01/13/2026)

Official Document

https://www.njleg.state.nj.us/bill-search/2026/S791

(3 Companion Bills)

Version:

Document Type	Source Location
State Bill Page	https://www.njleg.state.nj.us/bill-search/2026/S791
BillText	https://pub.njleg.gov/Bills/2026/S1000/791_I1.HTM

Bill	Bill Name	Last Action	Type
A2832	Prohibits common interest communities from penalizing members who place unit into living, revocable trust fund or classifying placement as title transfer.	Introduced, Referred to Assembly Housing Committee	Same As
A3919	Prohibits common interest communities from penalizing members who place unit into living, revocable trust fund or classifying placement as title transfer.	Introduced, Referred to Assembly Housing Committee	Carry Over
S686	Prohibits common interest communities from penalizing members who place unit into living, revocable trust fund or classifying placement as title transfer.	Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee	Carry Over

Bill > S791

summary

Introduced Session

Bill Summary

AI Summary

Committee Categories

Sponsors (1)

Last Action

Official Document

bill text

bill summary

bill summary

bill summary