RealCostIQ

Property Tax Guide

Property Tax in New Jersey (2026): Rates, Exemptions, and Real Numbers

New Jersey's effective property tax rate is 1.88% — one of the highest rates in the country (#1 nationally). On the state median of $569,314, that's $10,703/year or $892/month. Rates vary sharply by county: from 1.28% in Cape May County to 2.24% in Essex County.

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New Jersey Property Tax Rates by County

Highest and lowest effective rates within New Jersey

Highest rate

2.24%

Essex County

$12,753/yr on median-priced home

Lowest rate

1.28%

Cape May County

$7,287/yr on median-priced home

County rate spread

Cape May County
Essex County
1.28%1.88% statewide avg2.24%

Property Tax Calculator — New Jersey

Pre-loaded with New Jersey's 1.88% effective rate and $569,314 median price

Property Tax Estimator

New Jersey rate pre-loaded

$
0.10%3.50%

Monthly Escrow

$892/mo

added to your mortgage payment

Annual property tax$10,703
10-year total$107,031
30-year total$321,093

Estimate based on effective rate. Actual bills vary by county and assessment.

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Property Tax by City in New Jersey

Annual and monthly property tax by city, based on local median prices and the statewide effective rate

Estimated property tax — New Jersey cities

CityMedian PriceAnnual TaxMonthly% of P&I
Hoboken$970,000$18,236$1,520/mo31%
Jersey City$720,000$13,536$1,128/mo31%
Newark$420,000$7,896$658/mo31%
Princeton$1,050,000$19,740$1,645/mo31%
Trenton$215,000$4,042$337/mo31%
Source: Tax Foundation Property Taxes by State 2024 — estimated at 1.88% effective rate

New Jersey Homestead Exemption

New Jersey offers a homestead exemption

Homestead Benefit Program: rebate of $1,000–$1,500 for homeowners earning under $150,000; lower rebates for incomes up to $250,000. Senior Freeze (Property Tax Reimbursement) freezes taxes for seniors 65+ and disabled persons with income under $150,000. ANCHOR program provides $1,500 rebate for homeowners earning under $150,000 and $1,000 for earners $150K–$250K.

Apply after purchase through your county assessor. Deadlines vary — check the link below.

Apply for New Jersey homestead exemption →

How New Jersey Assesses Property Values

Assessment cycle: Annual assessment by municipal tax assessors; municipalities periodically conduct full revaluations (schedules vary widely — some towns have not revalued in 20+ years, causing significant assessment drift).

Assessment cycle

New Jersey reassesses property on a annual assessment by municipal tax assessors; municipalities periodically conduct full revaluations (schedules vary widely — some towns have not revalued in 20+ years, causing significant assessment drift). schedule. Your assessed value changes on this cycle, so your tax bill can increase even if you haven't made improvements.

Assessed value vs. market value

Some states assess at a fraction of market value. New Jersey's effective rate of 1.88% is calculated on market value. If you paid $569,314, your starting assessed value is approximately that amount.

How to appeal

If your assessment is higher than comparable sales in your area, you can appeal. File with your county Board of Assessment Appeals within the deadline on your notice (typically 30-90 days). Bring 3-5 recent comparable sales ("comps") pulled from Zillow or your county recorder. The process is free.

What drives reassessment

Triggers include your purchase price being recorded at county, permitted renovation work, and periodic mass appraisals. New construction is always assessed on completion.

Property Tax's Impact on Your True Monthly Cost

On a $569,314 home in New Jersey

ComponentMonthly
Principal & Interest$2,844
Property Tax (1.88%)$892
Homeowners Insurance$123
Maintenance Reserve$712
Utilities$228
True monthly total$4,799

Property tax represents 19% of the true monthly cost in New Jersey.

Mortgage Calculator Including Property Tax — New Jersey

See your full PITI (principal, interest, taxes, insurance) payment

Mortgage Estimator

New Jersey rates pre-loaded

$
3%50%
%

Monthly Payment (P&I)

$2,849

principal & interest only

Loan amount$455,451
Est. property tax$474/mo
Est. total with tax$3,323/mo
Total interest (30 yr)$570,144

Estimate only — excludes insurance, PMI, HOA.

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How New Jersey's Property Tax Affects Affordability

$892/month in property tax reduces the home price you can afford. Use the affordability calculator to see the real impact.

Mortgage Affordability Calculator

See what home price you can actually afford after factoring in New Jersey's $892/month property tax burden.

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Property Tax After Refinancing in New Jersey

Refinancing changes your P&I but not your property tax. If your home was reassessed at a higher value, your tax bill increases regardless of your rate.

Mortgage Refinance Calculator

See if refinancing saves money after accounting for New Jersey's property taxes — pre-loaded with the $569,314 median home value at 6.4%.

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Frequently Asked Questions

What is the property tax rate in New Jersey?
New Jersey's effective property tax rate is 1.88%, ranking #1 nationally. The median annual property tax bill is $10,703 ($892/month). Rates range from 1.28% in Cape May County to 2.24% in Essex County. Source: Tax Foundation Property Taxes by State 2024.
Does New Jersey have a homestead exemption?
Yes — New Jersey offers a homestead exemption for primary residences. Homestead Benefit Program: rebate of $1,000–$1,500 for homeowners earning under $150,000; lower rebates for incomes up to $250,000. Senior Freeze (Property Tax Reimbursement) freezes taxes for seniors 65+ and disabled persons with income under $150,000. ANCHOR program provides $1,500 rebate for homeowners earning under $150,000 and $1,000 for earners $150K–$250K.. Apply through your county assessor's office after purchasing your home.
How often is property reassessed in New Jersey?
New Jersey reassesses property on a annual assessment by municipal tax assessors; municipalities periodically conduct full revaluations (schedules vary widely — some towns have not revalued in 20+ years, causing significant assessment drift). basis. When your property is reassessed, your tax bill changes based on the new assessed value multiplied by the applicable rate. If you believe your assessment is too high, you can appeal — most counties allow 30-90 days after receiving your assessment notice.
How is property tax calculated in New Jersey?
Property tax = Assessed Value × Mill Rate (or effective rate). In New Jersey, the effective rate is 1.88% of market value. On a $569,314 home: $569,314 × 1.88% = $10,703/year. Assessments may use a fraction of market value — the effective rate accounts for this.
Can I appeal my property tax assessment in New Jersey?
Yes. If your assessed value is higher than comparable sales in your area, you can file an appeal with your county assessment board. Steps: (1) Get your assessment notice, (2) Research comparable recent sales, (3) File an appeal by the deadline (typically 30-90 days from assessment notice). Studies show 20-40% of appeals result in a reduction. The process is free and you represent yourself — no attorney required.
Are property taxes included in my mortgage payment in New Jersey?
Most lenders require an escrow account that collects $892/month ($10,703/year ÷ 12) along with your mortgage payment, then pays the county on your behalf. If your loan-to-value is below 80%, you may be able to opt out of escrow and pay taxes directly. Note: if your assessed value rises, your escrow payment adjusts and your total monthly cost increases.
What New Jersey counties have the highest and lowest property taxes?
New Jersey's highest effective rate is in Essex County at 2.24%. The lowest is Cape May County at 1.28%. That's a 0.96% spread — on a $569,314 home, the difference is $5,465/year.

Related Calculators

Data Sources

  1. 1.Tax Foundation Property Taxes by State 2024
  2. 2.Zillow Home Value Index, April 2026
  3. 3.Freddie Mac PMMS, May 2026
  4. 4.New Jersey homestead exemption

Note: These calculations are for educational purposes — always consult a licensed professional before making financial decisions.

Data shown for New Jersey is sourced from the references above and updated periodically. All figures are estimates based on statewide medians and averages — actual costs vary by county, property type, lender, and individual circumstances. This content is for informational purposes only and does not constitute financial, tax, or legal advice. Consult a licensed professional before making real estate or financial decisions.