Property Taxes New Jersey: A Comprehensive Guide

Understanding Property Taxes in New Jersey

Property tax is a local government tax levied on the value of real estate. In New Jersey, property taxes are the primary source of revenue for municipalities, counties, and school districts.

How Property Taxes Are Calculated

Property taxes are calculated by multiplying the assessed value of your property by the local property tax rate. The assessed value is a percentage of the property's market value, determined by your local tax assessor. The tax rate is set by your local government and varies from town to town.

Property Tax Rates in New Jersey

New Jersey has some of the highest property tax rates in the United States. The statewide average effective property tax rate in 2021 was 2.39%, according to the Tax Foundation. This means that for every $100,000 of assessed value, the average homeowner in New Jersey paid $2,390 in property taxes.

Property Tax Exemptions and Deductions

New Jersey offers a number of property tax exemptions and deductions to homeowners, including:

• Homeowner's exemption: A deduction of $250 for owner-occupied homes.
• Senior citizen exemption: A deduction of up to $250 for homeowners who are 65 years of age or older.
• Disabled veteran exemption: A deduction of up to $500 for veterans who are 100% disabled.

Property Tax Appeals

If you believe your property is assessed at an unfair value, you can appeal the assessment with your local tax assessor. The appeal process can be complex, so it is advisable to consult with an attorney if you are considering filing an appeal.

Property Tax Relief Programs

New Jersey offers a number of property tax relief programs to help low-income and senior homeowners. These programs include:

• Property Tax Reimbursement Program: A program that provides property tax rebates to homeowners who meet certain income and age requirements.
• Senior Freeze Program: A program that freezes property taxes for senior homeowners who meet certain income requirements.

Paying Your Property Taxes

Property taxes are typically due in two installments, one in February and one in August. You can pay your taxes online, by mail, or in person at your local tax collector's office.

Delinquent Property Taxes

If you fail to pay your property taxes, your municipality may take legal action to collect the debt. This may include placing a lien on your property or foreclosing on the property.

Property Tax Estimator

To estimate your property taxes, you can use the following formula:

Property Taxes = Assessed Value x Tax Rate

For example, if your property has an assessed value of $300,000 and the local tax rate is 2.5%, your property taxes would be $7,500.

Table 1: Property Tax Rates by County

Table 2: Property Tax Exemptions and Deductions

Table 3: Property Tax Relief Programs

Table 4: How to Estimate Your Property Taxes