Selling your New Providence home and wondering how much New Jersey will take at closing? You’re not alone. Transfer fees and forms can be confusing, and last year’s rule updates changed who pays certain charges on higher-value sales. In this guide, you’ll see what the fee is, who pays it, how to estimate your cost, and the local steps that matter in New Providence. Let’s dive in.
NJ transfer fee basics
New Jersey charges a Realty Transfer Fee when a deed is recorded. You, the seller, are generally responsible for this fee. The fee is based on the sale price and uses graduated rates per $500 of consideration. You can review the State’s overview, tables, and forms on the Division of Taxation’s Realty Transfer Fee page.
Who pays in 2025
Effective July 10, 2025, the State updated how certain supplemental transfer charges work on higher-value transactions. Under current guidance, the seller is responsible for the standard Realty Transfer Fee and the graduated percent fee that can apply to higher-value transfers. For commercial deals involving a controlling interest, the Controlling Interest Transfer Tax rules were also revised. Always confirm how the current rules apply to your contract date using the Division’s 2025 change summary.
Estimate your transfer fee
The fee is calculated by breaking your sale price into bands and applying the per-$500 rates in each band, then totaling the result. The Division of Taxation’s rate tables are the authoritative source. Use the State’s tables on the Realty Transfer Fee page and have your attorney or title company confirm the final amount before closing.
Example: $900,000 sale in New Providence
- $0–$150,000: 300 units × $2.90 = $870
- $150,000–$200,000: 100 units × $4.25 = $425
- $200,000–$550,000: 700 units × $4.80 = $3,360
- $550,000–$850,000: 600 units × $5.30 = $3,180
- $850,000–$900,000: 100 units × $5.80 = $580
- Estimated total RTF = $8,415
Example: $1,000,000 sale
Using the same band method, the estimated Realty Transfer Fee is about $9,575. For transfers at or above $1,000,000, check whether any additional graduated percent rules apply under the State’s current guidance and confirm with your closing team.
Note: These are examples only. Rates and rules can change, and your exact fee depends on your final contract and recording details. Always verify with your attorney or title company.
Other seller costs to expect
- Nonresident seller prepayment: If you are not a New Jersey resident, you generally must prepay estimated NJ Gross Income Tax equal to 2% of the sale price at or before closing using the GIT/REP forms. See the Division’s GIT/REP guidance for forms and exemptions.
- Union County recording fees: Deed recording fees and per-page charges apply and are paid when the deed is recorded. See the Union County Clerk’s fee schedule. These are separate from the State transfer fee.
- Other closing items: Attorney fees, commission, mortgage payoff, and prorations for taxes and utilities are contract-specific. Your settlement statement will show the final numbers.
New Providence steps that affect timing
The Borough of New Providence requires a Certificate of Compliance when you sell a home. Start this process early to avoid delays, since appointments and any required fixes can take time. Confirm steps and scheduling with the Building Department on the Borough’s Building Department page.
Exemptions and special cases
Some transfers qualify for full or partial relief from the Realty Transfer Fee. Examples include certain transfers between family members, transfers incident to death, and lower-rate schedules for qualifying senior, blind, or disabled sellers. Review the State’s exemption guidance and affidavit requirements (Form RTF-1) in the Division’s RTF FAQs and instructions. Your closing attorney will prepare and notarize the proper affidavit if you qualify.
Seller checklist
- Confirm your contract date so your closing team applies the correct 2025 rules and rate tables. Consult the State’s change summary for higher-value transfers.
- Ask your attorney or title company to compute the RTF and prepare the Affidavit of Consideration (RTF-1) if you are claiming an exemption or partial exemption.
- Determine residency status. If you are a nonresident, complete the correct GIT/REP form and plan for the 2% estimated tax prepayment or secure a waiver if eligible using the State’s GIT/REP guidance.
- Start New Providence’s Certificate of Compliance early. Use the Borough’s Building Department page to schedule inspections.
- Coordinate Union County recording details. Your settlement agent will bring the right cover sheets and the County Clerk’s fee schedule amounts to recording.
- Screen for exemptions. Discuss parent-child, estate-related, or senior/disabled partial exemptions with your attorney using the State’s RTF FAQs.
- Review your draft closing statement carefully so you understand every seller charge before signing.
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FAQs
What is the New Jersey Realty Transfer Fee for home sellers?
- It is a state fee paid when your deed is recorded, calculated on your sale price using graduated per-$500 rates, and it is generally the seller’s responsibility.
Did the 2025 rule changes affect who pays the fee?
- Yes. Effective July 10, 2025, the seller is responsible for the standard RTF and the graduated percent fee that can apply on higher-value transfers, so confirm current rules for your contract date.
How can I estimate my transfer fee before listing?
- Use the State’s rate tables to run a banded estimate and have your attorney or title company verify the number when your contract price and timing are final.
What if I am a nonresident selling in New Providence?
- You generally must prepay estimated NJ Gross Income Tax equal to 2% of the sale price at or before closing using the GIT/REP forms, unless you qualify for a waiver or exemption.
Are there exemptions from the transfer fee?
- Some transfers qualify for full or partial relief, including certain family transfers and reduced schedules for qualifying senior, blind, or disabled sellers, documented with the RTF-1 affidavit.
What New Providence requirement can delay my closing?
- Not securing the Borough’s Certificate of Compliance in time can delay recording and closing, so start the application and any inspections early.
