Did you know that a new NJ Mansion tax system went into effect July 1, 2025? What Homeowners and Homebuyers Need to Know: This new system impacts residential property sales over $1millionand represents a significant shift from the flat 1% tax on homes over $1 million that had been in place since 2004. The updated law, part of the FY2025 state budget, introduces graduated rates targeting higher-end transactions. Key Highlights: Mansion tax is now paid by the SELLER at closing No change to the existing seller-paid 1% Realty Transfer Fee schedule Nochangeforhomes under $1 million Homesover $1M up to $2Mstill pay the1%tax New higher brackets introduced for homes above $2 million Applies to all residential properties (single-family homes, condos, co-ops) Refund Eligibility Requirements: For deeds recorded between July 10, 2025 and November 15, 2025, sellers may apply for a refund of the increased tax amount. Qualifying sales must beUnder Contract by July 9, 2025, andthe seller must submit the refund application to the NJ Division of Taxationwithin one year of the deed recording date. It is advisable for both buyers and sellers to consult with real estate and legal professionals early in the transaction process to fully understand the financial impact. CALLUSfor more Information or to discuss your specific real estate needs! The property information herein is derived from various sources that may include, but not be limited to, county records and the Multiple Listing Service, and it may include approximations. Although the information is believed to be accurate, it is not warranted and you should not rely upon it without personal verification. Affiliated real estate agents are independent contractor sales associates, not employees. ©2025 Coldwell Banker. All Rights Reserved. Coldwell Banker and the Coldwell Banker logo are trademarks of Coldwell Banker Real Estate LLC. The Coldwell Banker® System is comprised of company owned offices which are owned by a subsidiary of Anywhere Advisors LLC and franchised offices which are independently owned and operated. The Coldwell Banker System fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. Copyright 2025 The West Oak Team Big Changes for Real Estate inNJ
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