New Jersey Mortgage Calculator: Estimate Your Monthly Payment

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Updated: January 18, 2024

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New Jersey homeowners, who incur the highest property taxes in the country, pay an average monthly payment of $1,367 for their mortgage. New Jersey has a $208 difference between state and national average mortgage payments.

Numerous factors, such as your budget and the state's tax rates, should be considered before buying a home in New Jersey. In addition to making your monthly payments, other financial considerations like upfront expenses and suggested income to comfortably finance your new house should be evaluated.

MoneyGeek can provide you with a more tailored quote based on your individual needs using our New Jersey state mortgage calculator. To help you save money on your monthly payments and compare offers from various lenders, we will walk you through the process of using our New Jersey mortgage calculator.

Start Here: Plug In Your Mortgage Factors

By considering 12 distinct factors, MoneyGeek’s New Jersey mortgage calculator provides a comprehensive estimate of your monthly mortgage payment. MoneyGeek explains the factors below.


Why and How to Use Our Mortgage Calculator

When buying a home in New Jersey, make sure to consider the expenses that will pop up throughout the home-buying process. Using a mortgage calculator can assist you with the process and allow you to make well-informed decisions.

MoneyGeek’s New Jersey mortgage state calculator can also assist you in creating a budget before purchasing a home. This can help you avoid financial troubles and save you from going into debt. It can also help you find ways to reduce your costs.

Whether you want to calculate the amount of your monthly payment or compare offers from different lenders, our New Jersey mortgage calculator can help you by simply providing a few simple numbers. Here are the key pieces of information included in the calculator:

Home Price:

Include the maximum price you can afford or the loan amount you're interested in obtaining.

Down Payment:

You may specify a percentage of the purchase price or a monetary amount for your initial up-front payment.

Interest Rate:

Specify the interest rate for the loan. MoneyGeek publishes daily mortgage rate reports from several lenders.

Loan Terms:

The most popular loan periods are 15, 20 or 30 years. However, you have the option of choosing your term length.

Payments per Year:

The number of payments you intend to make each year is important when determining a loan cost. The most common number of payments per year is 12, which equates to monthly installments.

Property Tax:

Enter the average effective property tax rate in New Jersey under “Other fees.” On average, New Jersey residents pay $5,419 per year in property taxes.

HOA Fees:

If your property has a homeowner's association (HOA), you will have to pay annual or monthly fees.

Principal & Interest:

The principal is the portion returned to the lender to repay your borrowed money, while you pay the interest in exchange for them lending you money.

Monthly Payment:

Your principal and interest, property taxes, home insurance and HOA fees are all included in your monthly payments.

Principal Payment:

It’s the portion of your monthly mortgage payment that lessens your overall balance. The majority of your contribution goes toward the interest at first.

Interest Payment:

This is included in your monthly mortgage payment to meet your interest rates. This amount gets smaller over time.

Total Cost with Interest:

The repayment of your principal balance as well as the total interest paid to the lender make up your total cost.

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MoneyGeek evaluated various strategies to minimize your monthly mortgage payments if you want to save money. Here are some of the top ways to reduce your mortgage costs

  • Buy a less expensive house. You can have a lower monthly mortgage payment if you take out a smaller loan. Buying a less expensive house can make this possible.
  • Choose a different location. New Jersey has the highest property tax in the country. By opting to purchase a home in a different state, you might be able to save money.
  • Make a larger down payment. You won't have to pay private mortgage insurance (PMI) if you put down 20% or more on a home.
  • Find a lower interest rate. You can lower your interest rate by shopping around and comparing various lenders.
  • Extend your loan terms. Your payment will be cheaper each month if you choose a longer repayment term. However, you may have to pay more interest over time.

Next Steps: What to Do After You Have Estimated Your Mortgage Payments

The home-buying journey can be tedious. Whether you're a first-time home buyer, a refinancer or a borrower with low credit, MoneyGeek has provided helpful information to guide you through this process.

  1. Shop & Compare Rates – Before taking out a loan, it's critical to compare offers from mortgage providers. For additional information, check out information on New Jersey mortgage rates.
  2. Not Ready to Buy? – If you are still undecided whether to rent or buy a home in New Jersey, MoneyGeek can help you figure out which option is better for your situation.
  3. Learn More – MoneyGeek provided a section on reverse mortgages, VA home loans and FHA home loans where you can learn more about ​​the type of mortgage you need.

Frequently Asked Questions About Mortgages in New Jersey

How much mortgage can I afford in New Jersey?
What is the average mortgage in New Jersey?
Do I have enough cash for a down payment for a mortgage in New Jersey?
Do you really need private mortgage insurance in New Jersey?
What are the average annual property taxes in New Jersey?
What is the average monthly mortgage payment in New Jersey?
What is the median home price in New Jersey?