NJ

N.J.S.A. 54:5-19

“A municipality shall have the authority to conduct both standard and accelerated tax sales. When unpaid taxes or any municipal lien, or part thereof, on real property remain in arrears at the close of the fiscal year, the collector or other officer charged by law in the municipality with that duty, shall enforce the lien by selling the property in the manner set forth in this article by holding a standard tax sale in the following fiscal year.”

N.J.S.A. 54:5-19.1

“Any provision of law to the contrary notwithstanding, a municipality may satisfy requirements of the "tax sale law," R.S.54:5-1 et seq., electronically through the use of any nationally recognized electronic municipal tax lien service, including, but not limited to, electronic publication of tax lien sale notices, electronic auctions, electronic payment for purchased liens, digital signature validation, or any other matters necessary for the conduct of electronic tax lien sales in accordance with rules, regulations and procedures promulgated by the Director of the Division of Local Government Services in the Department of Community Affairs”

N.J.S.A. 54:5-25

“After completing the list or sections thereof the collector shall give public notice of the time and place of sale, stating the description of the several lots and parcels of land and the owner's name as contained in the list, together with the total amount due thereon respectively as computed to the date of tax sale and stating in substance that the respective lands will be sold to make the amounts severally chargeable against them on said date as computed in the list, together with interest to the date of sale, and the costs of sale.”

N.J.S.A. 54:5-32

“The sale shall be made in fee to such person as will purchase the property, subject to redemption at the lowest rate of interest, but in no case in excess of 18% per annum. If at the sale a person shall offer to purchase subject to redemption at a rate of interest less than 1%, or at no interest, he may, in lieu of any rate of interest to redeem, offer a premium over and above the amount of taxes, assessments or other charges, as in this chapter specified, due the municipality, and the property shall be struck off and sold to the bidder who offers to pay the amount of such taxes, assessments or charges, plus the highest amount of premium.”

N.J.S.A. 54:5-33

“Payment for the sale shall be made before the conclusion of the sale, or the property shall be resold. Any premium payment shall be held by the collector and returned to the purchaser of the fee if and when redemption is made.”

N.J.S.A. 54:5-38

“The officer conducting a tax sale shall collect and pay into the treasury of the municipality a fee for all costs incurred by the municipality in holding the sale. The amount of the fee so paid shall be 2% of the existing lien as stated in R.S.54:5-19 and R.S.54:5-2, but not less than $15.00 and not more than $100.00 for each parcel listed. ... If unpaid prior to the tax sale, the fee shall form part of the tax lien and be paid by the purchaser at the tax sale.”

N.J.S.A. 54:5-46

“shall deliver to the purchaser a certificate of sale under his hand and seal, acknowledged by him as a conveyance of land, which shall set forth that the property therein described was sold by him to the purchaser, setting up the date of sale, the amount paid by the purchaser, the description of the land, the name of the owner and the items of the several municipal liens or charges, interest and costs, all as contained in the list, the rate of redemption for which sold, the date to which liens are included, and the time when the right to redeem will expire.”

N.J.S.A. 54:5-50

“The purchaser may record the certificate of sale in the office of the clerk or register of deeds of the county in which the land is situate, as a mortgage of land.”

N.J. Division of Local Government Services, Elements of Tax Sales in New Jersey

“The winning bidder is the one who bids the lowest percentage of interest or bids the highest premium. Bidders are urged to contact the Tax Collector for local payment restrictions before the sale) At the close of the sale, the winning bidder must immediately pay (pursuant to the local restrictions) the municipality the taxes and interest to date; in exchange the municipality will provide the bidder the tax sale certificate.”

N.J. State Commission of Investigation, Questionable Contracting: No Bids, Lax Oversight and a Monopoly in Online Tax Sales (May 2016)

“Tax sales traditionally have been conducted via live auctions held in municipal offices. At such auctions, liens on properties in the form of tax sale certificates are offered in person to qualified bidders”

N.J. State Commission of Investigation, Questionable Contracting: No Bids, Lax Oversight and a Monopoly in Online Tax Sales (May 2016)

“By way of background, bidders participating in online tax lien sales can only win at auction if they place a deposit prior to the event being held. Accordingly, only these qualified registered bidders should be considered when measuring the success of online sales.”