On June 26, 2025, the Senate and Assembly budget committees approved an expansion of the realty transfer fee on property transactions over $2 million in value (A5804/S4666). Currently, property sales that are $1 million or more are charged a fee of one percent of the total sale price. This bill would increase that amount to 2% for sales over $2 million, with the percentage increasing with each $500,000 in sale price, up to 3.5% for sales over $3.5 million.
This proposal aligns with an NJPP report in fall 2024 calling for an increase in the realty transfer fee on high-priced property sales.
In response, New Jersey Policy Perspective issues the following statement.
Peter Chen, Senior Policy Analyst, NJPP:
“At a time when so many households are struggling to afford the cost of living in New Jersey, this modest increase in the realty transfer fee will provide critical revenue for the state’s budget, while only affecting the top three percent of property sales statewide. These much-needed revenues should go towards making the state more affordable for low- and moderate-income households and supporting affordable housing options for New Jerseyans. Expanding the fee on high-priced property sales ensures that the state’s wealthiest residents and large corporate landholders, rather than low- and middle-income households, contribute their fair share.”
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