Delaware vs New Jersey
Property‑Tax Comparison: Delaware vs. New Jersey
Brief overview – Both states lie in the Mid‑Atlantic region, but their property‑tax burdens differ markedly. Delaware’s effective property‑tax rate is less than one‑quarter of New Jersey’s, resulting in substantially lower annual taxes for comparable home values. The tables and analysis below use the same source for all figures, allowing a direct side‑by‑side comparison.
Side‑by‑Side Metrics
| Metric (2023 ACS 5‑year) | Delaware | New Jersey |
|---|---|---|
| Effective property‑tax rate | 0.53 % | 2.23 % |
| Median home value | $326,800 | $427,600 |
| Median annual property tax | $1,731 | $9,541 |
| Property tax on a $250,000 home | $1,324 | $5,578 |
| Property tax on a $500,000 home | $2,649 | $11,157 |
| Median household income | $82,855 | $101,050 |
All numbers are taken from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Which State “Wins” on Property Taxes?
Winner (lower tax burden): Delaware
- Effective tax‑rate advantage – Delaware’s 0.53 % rate is 1.70 percentage points lower than New Jersey’s 2.23 % rate, representing a 76 % lower effective rate.
- Annual‑tax difference – For a $250 k home, the tax gap is $4,254 per year; for a $500 k home, the gap widens to $8,508 per year.
- Median‑tax perspective – The median Delaware homeowner pays $1,731 annually, compared with $9,541 in New Jersey, an $7,810 difference.
The lower rate in Delaware is the primary reason it “wins” in this comparison; the absolute tax amounts are directly derived from the effective rates applied to home values.
Who Is Most Affected by This Comparison?
| Audience | Relevance of the Comparison |
|---|---|
| Current homeowners | Understanding how much they owe annually versus a neighboring state can inform budgeting and decisions about moving. |
| Prospective homebuyers | The tax differential influences total cost of ownership, especially for buyers of mid‑range ($250 k–$500 k) homes. |
| Retirees and fixed‑income households | Lower property taxes can reduce fixed‑income strain; Delaware’s rates may be more affordable for those on limited budgets. |
| Real‑estate investors | Property‑tax expense is a key component of cash‑flow calculations; Delaware’s lower rates improve net returns for comparable assets. |
| Policy analysts | The data illustrate the fiscal impact of state‑level tax policy choices on residents. |
The comparison is factual and does not favor one state over the other beyond the objective metric of tax burden.
Sources
- Delaware property tax – /delaware-property-tax
- New Jersey property tax – /new-jersey-property-tax
All figures are based on the most recent ACS estimates (2023 5‑year) from the U.S. Census Bureau.
Explore More Comparisons
Discover how property taxes compare across all states in our comprehensive comparison guide.
Data Source
All figures are drawn from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates). This comprehensive dataset provides reliable, standardized property tax information across all states.