New Jersey · NJ

New Jersey Mortgage Calculator

Pre-filled for New Jersey: median home price $500,000, average property tax rate 2.23%. Adjust any slider to make it yours.

Highest property tax rate in the US.

New Jersey housing at a glance

Median home price: $500,000
Effective property tax rate: 2.23% / yr
Annual property tax (median home): $11,150
Est. monthly tax escrow: $929
State income tax: Yes

Sources: regional housing data 2025 (median price), state assessor averages 2024–2025 (tax rate).

Buying a home in New Jersey

The median home price in New Jersey is around $500,000 and the effective property tax rate averages 2.23%of assessed value per year. Most lenders look for a debt-to-income (DTI) ratio under 43%, meaning your total monthly debt payments (including this mortgage) shouldn't exceed 43% of your gross income.

A 20% down payment on the median home in New Jersey is $100,000. Putting down at least 20% eliminates private mortgage insurance (PMI), which typically adds 0.3–1.5% of the loan amount per year to your monthly payment.

Transfer tax & closing costs in New Jersey

New Jersey's Realty Transfer Fee is a sliding-scale 0.4%–1.21% paid by seller; properties over $1M trigger an additional 1% mansion tax paid by buyer.

Beyond transfer taxes, total closing costs in New Jerseytypically range from 2–5% of the purchase price — including lender origination fees, title insurance, appraisal, and prepaid interest. On the median home that's roughly $10,000–$25,000.

Foreclosure & legal context

Foreclosure type: Judicial (court-supervised)
Security instrument: Mortgage
Deficiency liability: Recourse

New Jersey uses strict judicial foreclosure — one of the longest timelines in the US, often 2–3 years from default to sale.

New Jersey mortgage FAQ

What is the monthly mortgage payment for a median-priced home in New Jersey?: At the current 30-year fixed rate of ~6.81%, a $500,000 home in New Jersey with 20% down ($100,000) carries a principal-and-interest payment of ~$2,610/mo. Add property tax (~$929/mo at 2.23%) and homeowners insurance and your total is roughly $3,540/mo. Use the calculator above to adjust for your exact down payment and rate.
What is the property tax rate in New Jersey?: The effective statewide property tax rate in New Jersey averages 2.23% of assessed value per year. On a $500,000 home, that works out to roughly $11,150 per year ($929/mo). Individual county rates vary.
Does New Jersey have a state income tax?: Yes, New Jersey has a state income tax. This affects your net take-home pay and therefore your effective purchasing power — use our salary calculator to estimate what's left after tax.
What are the closing costs and transfer taxes in New Jersey?: New Jersey's Realty Transfer Fee is a sliding-scale 0.4%–1.21% paid by seller; properties over $1M trigger an additional 1% mansion tax paid by buyer.
What type of foreclosure does New Jersey use?: New Jersey uses judicial foreclosure, meaning a lender must file a lawsuit and obtain a court judgment before selling a property. New Jersey uses strict judicial foreclosure — one of the longest timelines in the US, often 2–3 years from default to sale.

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