New Jersey homeowners are facing yet another year of rising property taxes, with the average bill exceeding $10,000 for the second consecutive year. The latest data from the state Department of Community Affairs reveals an average property tax payment of $10,570 in 2025, a $475 increase from the previous year.
While the statewide average paints a broad picture, the financial burden varies dramatically depending on location. Some towns see residents paying significantly more, while others enjoy comparatively lower rates.
Tavistock, a small borough in Camden County, stands out with the highest average property tax bill in the state, reaching a staggering $38,387. However, this figure is heavily influenced by the town’s unique characteristics. Tavistock consists of only three homes, all built around a luxury golf course, and property ownership is contingent upon golf club membership. This makes it an outlier even among affluent New Jersey communities.
Millburn, in Essex County, home to the Mall at Short Hills, also carries a substantial tax burden, with residents paying an average of $26,292 in 2025.
On the other end of the spectrum, Walpack in Sussex County boasts the lowest average property tax bill at just $1,143. Similar to Tavistock, Walpack’s small population – fewer than 10 residents – and lack of a school district and full-time town employees contribute to the lower taxes.
Property taxes in New Jersey are levied at the local level to fund essential services such as roads, libraries, local government operations, and infrastructure. A significant portion of these taxes, approximately 52% on average, is allocated to public schools. In 178 towns, over 60% of the average property tax bill went towards school funding last year.
The rising property tax bills come as the state prepares to fully implement the Stay NJ program in 2026. This program aims to provide relief to senior homeowners by offering a credit of up to 50% on their property tax bill, capped at $6,500. However, the total relief available – combining Stay NJ with the ANCHOR program and Senior Freeze initiatives – is limited to $6,500.
Homeowners can also expect to see higher assessed property values due to rising costs and more frequent reassessments. The state has consolidated applications for Stay NJ, ANCHOR, and Senior Freeze into a single form, known as PAS-1, to streamline the process for residents.
New Jersey’s average property tax bill now exceeds $10,000, with figures surpassing $13,000 in Essex and Bergen counties. While the implementation of Stay NJ offers some relief, rising assessments are likely to continue impacting homeowners across the state.
The statewide average property tax bill reached $10,570 in 2025, up from $10,095 the year before, according to data released by the Department of Community Affairs.
