Bill
Bill > A3465
NJ A3465
NJ A3465Clarifies exceptions regarding certain requirements for person seeking to be made party in certain foreclosure actions.
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill would clarify the exception under P.L.1954, c.186 (C.54:5-89.1) which allows a person with an interest in a parcel of real property to be admitted to a foreclosure proceeding in cases where less than fair market value has been paid for such interest in the property. Currently, only persons who are related by blood or marriage or who have another close personal relationship with a transferor of real property or if the person acquired an interest in the property through judicial sale, may become a party to the foreclosure action when less than fair market value has been paid for the property interest. This bill clarifies that when a transferor certifies that a licensed real estate appraiser has provided an appraisal on the fair market value, or if the transferor acknowledges the right to receive such an appraisal, but nonetheless chooses to convey the property for less than fair market value, the transferee in such circumstances may also become a party to the foreclosure proceeding.
AI Summary
This bill clarifies an exception to a rule in foreclosure actions, specifically when someone acquires an interest in a property for less than its fair market value after a foreclosure complaint has been filed. Previously, only close relatives, those with a close personal relationship to the seller, or those who acquired the interest through a judicial sale could be admitted to the foreclosure proceeding under these circumstances. Now, a person can also be admitted if the seller certifies they have reviewed an appraisal of the property's fair market value from a licensed real estate appraiser and knowingly agrees to sell for less, or if the seller acknowledges their right to get an appraisal but chooses to sell for less without one. This aims to broaden the circumstances under which individuals with a vested interest in a property can participate in foreclosure proceedings, even when the property is transferred for less than its appraised worth.
Committee Categories
Housing and Urban Affairs
Sponsors (1)
Last Action
Introduced, Referred to Assembly Housing Committee (on 01/13/2026)
Official Document
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/A3465 |
| BillText | https://pub.njleg.gov/Bills/2026/A3500/3465_I1.HTM |
Loading...