What is different about buying in New Jersey

Attorney review

Most New Jersey residential contracts are written on standard realtor forms that include an attorney review provision. Once both parties sign, a three-business-day period begins in which either side's attorney may disapprove the contract and propose modifications. Review can conclude quickly or run longer while attorneys negotiate. Until it concludes, either party can generally still walk. Both buyer and seller retain their own attorney.

Inspections customary in this market

• General home inspection
• Radon testing
• Wood-destroying insect (termite) inspection
• Underground storage tank sweep on older homes
• Well water potability and flow, where the home is on a well
• Septic inspection, where the home is not on public sewer
• Chimney, sewer lateral or pool inspections as the property warrants

Findings are negotiated inside the timeframes your contract sets. A seller is not automatically obligated to repair anything.

Municipal requirements before closing

New Jersey requires a certificate of smoke alarm, carbon monoxide alarm and portable fire extinguisher compliance, obtained from the local fire official. Many municipalities separately require a resale certificate of occupancy or continuing certificate of occupancy inspection. Requirements and fees differ town by town — check with the municipality.

Flood zones, elevation and insurance

Flood designation affects insurance cost and can affect financing. Ask for the flood zone, any elevation certificate, and the seller's current premium. A quote from your own insurance agent early in the process is worth the ten minutes.

Title, survey and the closing itself

A title search confirms the seller can convey clear title; title insurance protects against defects that a search does not reveal. A survey may be ordered to confirm boundaries, encroachments and improvements. Closings in New Jersey are typically handled by attorneys and a title company.

Realty transfer fee and mansion tax

New Jersey imposes a realty transfer fee, generally paid by the seller, and an additional fee on certain higher-priced residential transfers that is generally paid by the buyer. Rates and thresholds are set by statute and can change. Confirm current figures with your attorney before you rely on them.