The calculator is pre-filled for a $496,000 home (the New Jersey median, ranked 9th of 51) with 20% down at 7.40%. That comes to $3,657.78 a month: $2,747.36 principal and interest, $781.17 tax, $129.25 insurance. With 5% down and PMI it is $4,369.24.
Homestead exemptions and property tax relief
New Jersey offers rebates rather than a large exemption. ANCHOR pays homeowners $1,500 if 2025 income was $150,000 or less and $1,000 up to $250,000; applicants file with the Division of Taxation, and payments start rolling out each September. Older homeowners can add Stay NJ and the Senior Freeze, but total relief cannot exceed the property tax actually paid.
First-time buyer programs
The New Jersey Housing and Mortgage Finance Agency's Down Payment Assistance Program gives first-time buyers up to $15,000 depending on the county of the home, as an interest-free second loan forgiven after five years. Buyers whose parents do not own a home, or who were in New Jersey foster care, can add $7,000 through the First Generation program, for $17,000 to $22,000 in total (so the base award is $10,000 to $15,000, depending on the county). Both require an NJHMFA first mortgage.
Transfer and recording taxes
The seller pays the Realty Transfer Fee. On a sale over $350,000 each slice of the price is charged at its own rate per $500: $2.90 on the first $150,000, $4.25 from $150,000 to $200,000, $4.80 from $200,000 to $550,000, $5.30 to $850,000, $5.80 to $1 million and $6.05 above that. On a $496,000 sale that is $870 + $425 + $2,841.60, about $4,137. Since July 10, 2025 (P.L.2025, c.69), sales over $1 million also carry a Graduated Percent Fee, which replaced the old 1% buyer-paid fee and is also the seller's responsibility. It applies to the full price: 1% up to $2 million, 2% to $2.5 million, 2.5% to $3 million, 3% to $3.5 million and 3.5% above that. Senior, blind and disabled sellers and low- and moderate-income housing get reduced Realty Transfer Fee rates.
Closing costs to plan for
New Jersey's transfer fees, including the over-$1 million Graduated Percent Fee, fall on the seller, so buyer costs are attorney fees, title, lender charges and prepaid taxes. Because taxes are so high, the first escrow deposit is often the biggest item after the down payment.
When property tax bills are due
New Jersey property taxes are generally due quarterly on February 1, May 1, August 1 and November 1, and most municipalities give a 10-day grace period. The first two quarters are estimates based on last year's tax. The August and November bills reflect the new tax rate, so the second half of the year is where increases show up.
Before you buy in New Jersey
Two state programs reduce the bill after you buy. ANCHOR is an annual benefit for homeowners who lived in the home on October 1 of the benefit year. Stay NJ is an additional credit for homeowners age 65 or older. Both are run by the Division of Taxation, and you apply to it, not to the town.
2026 loan limit in New Jersey
FHFA 2026 one-unit conforming limits: 12 of 21 counties run above $832,750, peaking at $1,209,750 in Bergen County, Essex County, Hudson County and 9 more. A median-home loan of $396,800 is conforming.
New Jersey numbers used above
| Measure | New Jersey | U.S. |
|---|---|---|
| Median home value (ACS 2024) | $496,000 | $360,600 |
| Effective property tax rate | 1.89% (2nd highest) | 0.89% |
| Average HO-3 premium (NAIC 2023) | $1,551 | $1,737 |
| Median household income | $104,294 | $81,604 |
| Median gross rent | $1,800 | $1,487 |
| Income needed at 28% (20% down) | $156,762 | – |
Frequently asked questions
When are New Jersey property taxes due?
Quarterly, on February 1, May 1, August 1 and November 1.
Does New Jersey have a homestead exemption?
Not in the usual sense; relief comes through the state ANCHOR benefit and, for seniors, Stay NJ.
Who pays New Jersey's realty transfer fee?
The seller pays the Realty Transfer Fee; on homes over $1 million the buyer also pays the mansion tax.
What is the median-home payment in New Jersey?
About $3,657.78 a month on a $496,000 home with 20% down at 7.40%, including tax and insurance.
Sources
- NJ Division of Taxation, ANCHOR
- NJ Division of Taxation, Realty Transfer Fee and Graduated Percent Fee
- NJHMFA homebuyer programs
- NJ Division of Taxation, property tax relief programs
- NJ Division of Taxation, ANCHOR
- NJ Division of Taxation, Stay NJ
- FHFA, 2026 conforming loan limits
- Census ACS 2024 1-year (B25077, B25103, B19013, B25064); NAIC homeowners report (2023); Freddie Mac PMMS.
See also: all states · house affordability · New Jersey paycheck