New Jersey Homeowners Face Record Property Tax Burden Again

Property taxes in New Jersey reached a record high in 2025, putting households under financial hardship again. New Jersey has the nation’s highest property taxes, and the average property tax bill has topped five figures for the second year in a row.

Recent state data shows that the average New Jersey homeowner paid $10,570 in property taxes last year. This is a $475 rise from last year, straining household budgets already struggling with growing expenditures. Many homeowners expect incremental hikes, but the new jump’s size and timing have garnered attention.

Property tax increases have outpaced inflation, which is most noticeable. The latest U.S. Bureau of Labor Statistics data shows that New Jersey property taxes rose 4.7 percent in 2025 while inflation rose 2.7 percent. Property taxes rose faster than the cost of living, making the rise harder for homeowners to bear.

Property taxes are an annual burden for many families, affecting long-term financial planning. A greater tax bill can affect saving, house upgrades, and state residency. As tax rises outpace income growth, retirees and fixed-income households may feel the burden more.

State data confirms that this is a trend. Middle-income homeowners are worried about affordability and house stability as average expenditures remain above $10,000 for the second year. The gap between household income growth and tax responsibilities has become wider as inflation has dropped but property taxes have not.

The new numbers show that New Jersey homeowners continue to pay hefty taxes to own a house. The data on homeowners’ annual bills show that property taxes are rising faster than the economy, causing financial problems across the state.

Sources

New Jersey State Government Property Tax Data
U.S. Bureau of Labor Statistics (Inflation Data)