Highest Property Taxes in USA

Leaving New Jersey in 2026?

You're not alone. A Newark area to Tampa move saves $18,000+/year in taxes and living costs. See the real numbers for your specific situation.

10.75%

Top State Tax Rate

$8,797

Avg Property Tax/Year

60K+

Net Outflow/Year

$15K+

Potential Savings/Year

Why 60,000+ New Jerseyans Leave Every Year

According to U.S. Census data, New Jersey consistently ranks among the top states for net domestic outmigration. The reasons are clear:

#1 Property Taxes

Highest property taxes in the nation at 1.95% effective rate. The average homeowner pays $8,797/year—more than double the national average.

10.75% Income Tax

One of the highest state income tax rates in America. A $200K earner pays thousands in NJ state tax—zero in Florida or Tennessee.

145 Cost Index

New Jersey is 45% more expensive than the US average. Housing, utilities, groceries, and childcare all cost significantly more than most states.

Cold Winters

Harsh winters with snow, ice, and heating bills that can exceed $300/month. Many retirees and remote workers are choosing year-round warmth.

Real Savings: Newark Area to Tampa Example

$150,000 salary, single filer, 2026 tax year

Tax Savings

NJ State Tax (saved)+$8,200
NJ Property Tax (saved)+$5,000
FL Sales Tax (higher)-$800

Net Tax Savings+$12,400/yr

Cost of Living Savings

Housing (rent/mortgage)+$7,200
Groceries, utilities, etc.+$2,400
Heating savings (winter)+$1,800

COL Savings+$11,400/yr

Total Annual Savings: $18,000+

Before You Go: Important Considerations

Leaving New Jersey involves trade-offs. Make sure you've thought through:

NJ Exit Tax on Property Sales

New Jersey requires sellers who are moving out of state to pay an estimated tax of 8.97% of the gain or 2% of the selling price (whichever is higher) at closing. This is credited toward your final NJ tax return, but it's a significant upfront cost.

Salary Adjustments

Some companies reduce salaries when you move to lower-cost areas. Even with a 10-15% cut, you often still come out ahead—but verify first. NJ proximity to NYC means salaries tend to be higher here.

Establish Residency Properly

Get a new driver's license, register to vote, spend 183+ days in your new state. NJ may audit you otherwise, especially high-income earners.

Compare New Jersey to Other States

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