"New Jersey Neighborhood Homes Investment Act"; establishes gross income tax credit for certain residential development.

The New Jersey Neighborhood Homes Investment Act creates a tax credit for developers who build or substantially renovate homes sold at affordable prices to low- and moderate-income residents. The credit equals the development costs minus the affordable sale price, but cannot exceed 35% of the lesser of the development costs or 80% of the state's median new home price. To qualify, homes must be in designated low-income census tracts, buyers must have household incomes at or below 140% of the state median, and they must commit to living in the home for at least five years. Homeowners who sell before five years must pay a penalty of 10% to 50% of the difference between the sale price and the original affordable price.