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Toms River is Now Requiring a Certificate of Occupancy to Sell Property

September 14, 2022

As of July 1st, 2022, a new law requires a Municipal Certificate of Continued Use and Occupancy (MCCUO) for residential home sales in Toms River. This $300 fee to Toms River covers the cost of a township inspector’s visit to the home.

Township officials say this law is intended to provide more protection for buyers.

The MCCUO focuses on code issues and/or violations which could threaten a person’s safety upon purchasing a home. An application must be made at least thirty (30) business days before the scheduled closing and the inspection submitted typically takes place seven (7) business days after the application is submitted. The application process should be started as early as possible to avoid delays. What is notable here, for our clients, is that “quick closings,” will now be few and far between, regardless of lender approvals and title work processing.

After the report is finalized, the home will be issued a MCCUO or denied. If the property fails inspection, the owner will be given a list of violations and a set time period to make repairs, and must pay an additional $150 fee to have the property reinspected.

According to township officials, a growing number of people who recently purchased in Toms River found their homes had serious issues which they were unaware. Some of those problems include damage from superstorm Sandy, illegal basement apartments, or boat lifts and pools, where electrical service is not properly grounded.

The new law passed by a 5 to 1 vote. Many objectors argue that the $300 fee is “government overreach” and could make selling a house difficult for those who can’t afford it.

Other surrounding towns such as Jackson, Manchester, Neptune and Middletown have also adopted similar ordinances. However, those fees range from $100 – $150. Toms River township officials say they chose $300 “so that all township taxpayers don’t foot the bill for the new inspectors the code enforcement department will have to hire.”

Fees:
Application $300
Re-inspection: $150
Transfer of Title: $175
All charges by HVAC/Chimney/Electrician to get certifications
*Does not cover cost to remedy any violations

For an overview of the inspection requirements, visit the township’s website:
https://rb.gy/m4q02c

For more information regarding residential real estate transactions, click here to learn more about our Real Estate services or contact 732-797-1600.

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