Estimate your monthly mortgage payment in New Jersey — principal & interest plus New Jersey property tax and homeowner’s insurance.
Buying a home in New Jersey: what to know
New Jersey pairs the nation’s 5th-highest typical home value ($580,353, Zillow ZHVI, Aug 2026, up 2.8% YoY) with the nation’s highest property taxes — a 1.88% median effective rate (Tax Foundation, 2026), tied with Illinois. With a median home price of $580,353, 20% down means borrowing about $464,282 — within the 2026 conforming limit of $832,750 for most NJ counties ($1,209,750 in the 12 NYC-metro high-cost counties). Property taxes run about 1.88% of assessed value, and insurance averages $1,417 a year statewide — both baked into the calculator above. First-time buyers should check out the NJHMFA First-Time Homebuyer Mortgage Program and its Down Payment Assistance (up to $22,000 forgivable) before shopping lenders, and every homeowner should look into the ANCHOR property-tax relief payment.
New Jersey mortgage facts
| Fact | Figure |
|---|---|
| 2026 conforming loan limit (1-unit) | $832,750 ($1,209,750 in 12 NYC-metro high-cost counties) |
| Median home price | $580,353 |
| Median effective property tax rate | 1.88% |
| Average homeowner’s insurance | $1,417/year |
Data as of October 2026. Sources: FHFA (2026 conforming limits), Zillow ZHVI (Aug 2026), Tax Foundation (2026 (2024 ACS data)), NAIC via Insurance Information Institute (2022 (published May 2025)); rate: 7.40% (Freddie Mac PMMS, week ending October 15, 2026)
New Jersey first-time buyer programs
- NJHMFA First-Time Homebuyer Mortgage Program — Competitive 30-year fixed-rate first mortgage through participating lenders, subject to county income and purchase-price limits. Official site
- NJHMFA Down Payment Assistance — 0%-interest second loan of $10,000 or $15,000 depending on county (plus a $7,000 First Generation supplement, up to $22,000 total); no monthly payment, forgiven after five years of primary residency; must pair with an NJHMFA first mortgage. Official site
How to use this calculator
Start with New Jersey’s median home price (pre-filled above) or type the price of a home you’re eyeing. The calculator assumes 20% down — the threshold that avoids private mortgage insurance on conventional loans — and applies New Jersey’s median property tax rate and average insurance premium so the monthly figure reflects the true cost of owning, not just principal and interest. Because NJ taxes are the nation’s highest, the escrow portion of your payment will be unusually large — compare the tax line against the specific town’s rate before you offer. Adjust the rate to a quote you’ve received; even half a point moves the payment by hundreds on a New Jersey-priced home.
Worked example: a median New Jersey home
Take a median-priced New Jersey home at $580,353. With 20% down ($116,070.60), the loan amount is $464,282.40. At 7.40% (Freddie Mac PMMS, week ending October 15, 2026) on a 30-year fixed term, principal and interest come to $3,214.60/month. Add property tax of about $909.22/month (1.88% of $580,353, divided by 12) and insurance of about $118.08/month ($1,417 a year), for a total estimated payment of $4,241.90/month. Over 30 years, total interest would be about $692,972.72. Your rate, down payment, and county tax bill will move these numbers — use the calculator above with your own figures.
What is the conforming loan limit in New Jersey for 2026?
The 2026 baseline conforming loan limit for a one-unit property is $832,750 across most of New Jersey, per the FHFA’s November 2025 announcement. In the 12 designated high-cost NYC-metro counties (Bergen, Essex, Hudson, Hunterdon, Middlesex, Monmouth, Morris, Ocean, Passaic, Somerset, Sussex, Union), the 2026 limit is $1,209,750.
How much are property taxes in New Jersey?
The median effective property tax rate in New Jersey is about 1.88% of a home’s assessed value (Tax Foundation, 2026 (2024 ACS data)) — tied with Illinois for the highest in the nation. On a $580,353 home, that’s roughly $10,911 a year, or $909.22 a month — already included in the calculator above. Actual bills vary by county and municipality.
What is the ANCHOR program and how much does it pay?
ANCHOR (Affordable New Jersey Communities for Homeowners and Renters) is the state’s direct property-tax relief payment: the 2026 cycle pays $1,500 to homeowners with 2025 gross income up to $150,000 and $1,000 at $150,001–$250,000, paid by the NJ Division of Taxation (application deadline November 2, 2026). Seniors 65+ can also combine the Senior Freeze and Stay NJ benefits.
How does NJHMFA down payment assistance work?
NJHMFA’s Down Payment Assistance is a 0%-interest second loan of $10,000 or $15,000 depending on county (plus a $7,000 First Generation supplement, up to $22,000 total) with no monthly payment — fully forgiven after five years of primary residency. It must be paired with an NJHMFA first mortgage.
Why are New Jersey property taxes the highest in the US?
New Jersey relies heavily on local property taxes to fund schools and municipal services, and high home values multiply the effect: the average NJ property tax bill runs about $10,750 a year. Programs like ANCHOR, the Senior Freeze, and Stay NJ exist specifically to offset the burden for qualifying homeowners.