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2026 NJ Tax Rates

New Jersey Mansion Tax Calculator 2026

Instantly estimate the New Jersey mansion tax on your residential property purchase. NJ applies a graduated fee from 1% to 3.5% on properties sold for more than $1,000,000.

NJ Mansion Tax Calculator

New Jersey • Instant Estimate

Estimated Mansion Tax

$50,000

Effective Rate: 2.00%
Property Price$2,500,000
Mansion Tax$50,000

Estimate based on current New Jersey tax regulations. Consult a licensed professional for exact figures.

Worked Example

Example: Mansion Tax Calculation for a $3 Million Property in 2026

A property purchased for $3,000,000 in New Jersey exceeds the $1,000,000 threshold, triggering the state's mansion tax. Under the updated graduated structure, a $3M sale falls into the 2.5% bracket. This rate applies to the entire purchase price.

Purchase Price $3,000,000
Applicable Rate Bracket 2.50%
Estimated Mansion Tax $75,000

The calculation is straightforward: $3,000,000 × 2.50% = $75,000. This fee is part of the New Jersey Realty Transfer Fee and, as of July 2025, is paid by the seller at closing.

Tax Schedule

New Jersey Mansion Tax Rate — 2026

Additional realty transfer fee for residential properties exceeding $1,000,000.

Purchase Price Mansion Tax Rate
$1,000,000 or below 0.00% (Exempt)
Over $1,000,000 1.00%

💡 The New Jersey mansion tax was previously a flat 1% rate, but as of July 2025, it uses a graduated tier system ranging from 1% to 3.5%. The applicable rate applies to the entire purchase price once the $1,000,000 threshold is exceeded.

Common Questions

New Jersey Mansion Tax FAQ

What is the NJ Mansion Tax?

The New Jersey "mansion tax" is a graduated percentage fee on top of the standard NJ Realty Transfer Fee. It applies to all residential property transactions where the total consideration exceeds $1,000,000. Under the new 2025 laws, rates range from 1% up to 3.5% based on the total sale price.

Who pays the NJ Mansion Tax — the buyer or the seller?

Historically paid by the buyer, a sweeping legislative change effective July 2025 shifted the New Jersey Mansion Tax liability entirely to the seller. This is paid in addition to the standard Realty Transfer Fee.

How does the NJ Mansion Tax compare to New York's?

Both New York and New Jersey use progressive bracket systems, but with different structures. New Jersey's rates now range from 1% to 3.5%, applying the corresponding rate to the entire purchase price once the threshold is met, and is paid by the seller at closing.

Are there any exemptions?

Properties purchased for $1,000,000 or less are exempt. Certain transfers — such as those between family members, court-ordered transfers, or governmental acquisitions — may also qualify for exemptions under specific NJ statutes.

Disclaimer & Legal Notice

This website provides general estimates and approximations for closing costs, taxes, and loan repayments in New York City based on current 2026 regulations (including the progressive NYS Mansion Tax rates). The figures shown are for informational purposes only, do not constitute formal legal or financial advice, do not represent an official accounting calculation, and do not establish any attorney-client or brokerage relationship.

Real estate tax laws, title insurance rates, and lender underwriting guidelines are highly complex and subject to change or interpretation. We strongly advise you to consult with a qualified, licensed New York Real Estate Attorney, CPA, or financial advisor before executing any real estate transactions or contract agreements.