The governing law
New Jersey is a tax-lien state, and the sale is municipal, not county. Each of the 564 municipal tax collectors must sell a tax sale certificate on every parcel with unpaid taxes or other municipal liens, normally in the fiscal year after they went into arrears. Bidders compete by bidding the redemption interest rate down from the 18 percent statutory maximum; once a bid falls below 1 percent, bidding moves to a cash premium, which the collector holds and returns without interest if the parcel is redeemed. On redemption the owner also pays a one-time penalty of 2, 4 or 6 percent of the certificate amount, depending on its size. A private holder may file in Superior Court to foreclose the right of redemption two years after the sale. The process is governed by the Tax Sale Law, N.J.S.A. Title 54, Chapter 5.
N.J.S.A. Title 54, Chapter 5
Read the statuteTax Sale Law
N.J.S.A. 54:4-66
Read the statuteWhen calendar year taxes payable, delinquent
N.J.S.A. 54:4-67
Read the statuteDiscount for prepayment; interest for delinquencies
N.J.S.A. 54:5-19
Read the statutePower of sale (municipal collector's duty to sell)
N.J.S.A. 54:5-19.1
Read the statuteElectronic tax lien sales by municipalities
N.J.S.A. 54:5-26
Read the statuteNotice of tax sale; posting, publication
N.J.S.A. 54:5-32
Read the statuteSale in fee subject to redemption (18 percent maximum, premium bidding)
N.J.S.A. 54:5-33
Read the statutePayment; resale; redemption (premium held and returned)
N.J.S.A. 54:5-34
Read the statutePurchase by municipality at 18 percent
N.J.S.A. 54:5-54
Read the statuteRight of redemption
N.J.S.A. 54:5-61
Read the statuteHolder's expenses and 2/4/6 percent redemption penalty
N.J.S.A. 54:5-79
Read the statuteWhen title void (20-year limit)
N.J.S.A. 54:5-86
Read the statuteAction to foreclose right of redemption
N.J.S.A. 54:5-87
Read the statuteEffect of judgment; owner-demanded sheriff's sale and surplus
N.J.S.A. 54:5-113
Read the statutePrivate sale of municipality-held certificates
Want the mechanics in plain English instead of statute numbers? See how to buy in New Jersey, the redemption period, and the full New Jersey walkthrough.
Statute citations verified Sep 27, 2026. Statutes are amended; always confirm the current text at the official link before you rely on it.
Tax Sale Atlas publishes educational information about public tax sale processes. This is not legal, financial, or investment advice. Rules, dates, and fees change; confirm with the county office before you bid.