Revises process for property tax lien holder to foreclose right to redeem a property tax lien; allows property owner to protect remaining equity.

This bill revises New Jersey's property tax lien foreclosure process to comply with a U.S. Supreme Court ruling that limits how much equity a tax lienholder can keep. It allows property owners to request a judicial sale (similar to mortgage foreclosure) or online auction through the county sheriff within 45 days of being served with foreclosure papers. If requested, the sale must be conducted as a mortgage foreclosure would be, potentially allowing the owner to recover any remaining equity after the tax lien is satisfied. Property owners who don't make this request will lose all equity in the property to the lienholder, while those who do can protect their remaining value. The bill applies to foreclosure actions filed on or after May 25, 2023.