NJ Attorney General Launches Initiative to Combat Home Appraisal Discrimination

New Jersey's Home Appraisal Discrimination Initiative targets systemic bias in real estate, aiming to eliminate inequities affecting communities of color.

NEWARK, N.J. – In a significant step towards achieving real estate equity, New Jersey Attorney General Matthew J. Platkin unveiled the Home Appraisal Discrimination Initiative, designed to combat longstanding inequities in the appraisal process. Developed by the Division on Civil Rights (DCR) in partnership with the Division of Consumer Affairs (DCA), this initiative represents a concerted effort to address biases adversely impacting homeownership and wealth building in communities of color.

The initiative is informed by Governor Phil Murphy’s Wealth Disparity Task Force and the Biden Administration’s Interagency Task Force on Property Appraisal and Valuation Equity. It acknowledges the detrimental impact of racial and ethnic bias in appraisals, particularly in predominantly Black and Latinx/e neighborhoods.

Central to this initiative are several key actions:

1. DCR Enforcement Guidance: The Department and DCR have issued guidance on applying the New Jersey Law Against Discrimination (LAD) to home appraisals. This document clarifies that appraisers, appraisal management companies, and lenders may all be liable for discriminatory practices. Professionals found violating the LAD or other civil rights laws may face disciplinary action by the State Real Estate Appraiser Board.
2. Appraisal Equity Subcommittee: A new subcommittee within the DCA’s New Jersey State Real Estate Appraiser Board aims to reduce barriers to entering the appraisal profession and to diversify it.
3. DCR Appraisal Discrimination Enforcement Task Force: This internal task force will enforce the LAD’s prohibition on discrimination in home appraisals and address public complaints.
4. Complaint Sharing and Anti-Bias Trainings: DCR and the State Real Estate Appraiser Board will collaborate to ensure comprehensive review and response to bias complaints. Additionally, anti-bias trainings for board members and appraisers are in place, with new continuing education requirements starting in January 2026.
5. Public Education and Outreach: In collaboration with community partners, DCR and DCA are organizing outreach events and virtual trainings to educate the public on home appraisal discrimination.

Governor Murphy emphasized the need to address discriminatory practices that obstruct homeownership, particularly for communities of color. AG Platkin reinforced New Jersey's commitment to ending such practices, acknowledging the state's strong anti-discrimination protections but recognizing the need for continued vigilance.

This initiative underscores New Jersey's proactive stance against discrimination in the real estate sector, aiming to foster fair and equitable practices in home appraisals. The LAD prohibits discrimination based on various characteristics, including race, color, religion, national origin, and gender identity, among others.

For those who believe they have experienced discrimination in home appraisals, DCR provides an email contact, and DCA offers an online platform for filing complaints against appraisers.