Why Are NJ Property Taxes So High?
New Jersey has some of the highest property taxes in the nation, averaging about 2.4% of home value annually. This is primarily because NJ relies heavily on property taxes to fund local services, including schools.
How Property Taxes Are Calculated
Your tax bill = Assessed Value × Tax Rate
- Assessed Value: The value assigned to your property by the local tax assessor
- Tax Rate: Set by your municipality, county, and school district
Understanding Your Tax Bill
NJ property taxes fund:
- School district (typically 50-70% of bill)
- Municipal services (police, fire, garbage)
- County government
- Open space preservation
Assessment and Appeals
If you believe your property is over-assessed, you can appeal:
- Review your property record card at the assessor's office
- Compare your assessment to similar homes
- File an appeal with the County Tax Board (deadline: April 1 in most counties)
- Provide evidence (recent sale price, appraisal, comparable assessments)
Property Tax Relief Programs
- Senior Freeze: Reimburses eligible seniors for property tax increases
- Homestead Benefit: Credit for eligible homeowners
- Veterans Deductions: $250 annual deduction for veterans
- Senior/Disabled Deductions: $250 for qualifying seniors and disabled
Sample Tax Rates by County
Tax rates vary dramatically by municipality. Examples (approximate):
- Bergen County: 2.0-3.0%
- Essex County: 2.5-4.0%
- Hudson County: 1.5-2.5%
- Monmouth County: 1.5-2.5%
Always research the specific municipality when buying!