Income Needed to Buy a Home in New Jersey (2026)
Verdict: unaffordable — requires $176,276/year (#7 least affordable of 51 US states)
New Jersey ranks #7 of 51 US states for housing unaffordability in 2026. Buying the median home at $569,411 requires a household income of about $176,276. That's $71,982 more than the median household actually earns ($104,294) — a shortfall of 69% of typical income.
New Jersey's affordability ratio of 1.69 (required income ÷ actual median income) is 32.3% worse than the median across all 51 US states (1.28). Home prices here sit 64.3% above the cross-state median of $346,668.
New Jersey's 1.77% effective property tax rate is among the heaviest in the country, adding $840 every month on top of principal and interest, while homeowners insurance runs about $1,214/year. All-in, the monthly PITI (principal, interest, taxes, insurance) comes to $4,113.
New Jersey monthly cost breakdown (2026)
| Median home price | $569,411 |
| Loan amount (10% down) | $512,470 |
| Monthly principal & interest | $3,172 |
| Monthly property tax (1.77% rate) | $840 |
| Monthly homeowners insurance | $101 |
| Total monthly PITI | $4,113 |
| Required household income | $176,276 |
| Median household income | $104,294 |
Run your own numbers
These figures model the median buyer. Your rate, down payment, and debts change the answer — check your personal maximum with the Home Affordability Analyzer or build a full payment schedule in the Advanced Mortgage Calculator. Closing costs typically add 2–5% on top — estimate them with the Closing Costs Estimator.
How New Jersey compares
- Washington — similar affordability (ratio 1.66, requires $165,086)
- Montana — similar affordability (ratio 1.75, requires $131,484)
- Rhode Island — similar affordability (ratio 1.75, requires $146,304)
- West Virginia — among the most affordable US states (requires $48,369)
- Iowa — among the most affordable US states (requires $74,199)
See every state and province ranked in the 2026 Mortgage Affordability Index.
Frequently asked questions
How much income do you need to buy a house in New Jersey in 2026?
About $176,276 per year to afford the median-priced home of $569,411, assuming a 10% down payment and standard 28% housing-cost-to-income guideline. The median New Jersey household earns $104,294.
What is the monthly cost of owning a median home in New Jersey?
Roughly $4,113 per month, including principal and interest, property tax, and homeowners insurance.
Is New Jersey affordable at the median income?
No. The required income exceeds the median household income by $71,982 (69%), ranking New Jersey #7 least affordable of 51 US states.
Methodology & sources
Assumes 10% down, 30-year fixed at prevailing 2026 rates, 28% housing-cost-to-income guideline. Home prices from Zillow ZHVI (March 2026); incomes from Census ACS 1-Year 2024; property taxes from Tax Foundation; insurance from Bankrate state averages. Figures model the median scenario and are not financial advice. Full sources on the affordability index.