Overview of New Jersey Mortgages
Historical New Jersey mortgage rates are below national averages. New Jersey counties’ conforming loan and FHA limits vary widely, with many counties going well above standards. That means your monthly mortgage payment, and especially your property taxes, will depend on where you buy in the state.
| Product | Today | Last Week | Change |
|---|---|---|---|
| 30 year fixed | 5.81% | 5.87% | -0.06 |
| 15 year fixed | 5.06% | 5.13% | -0.06 |
| 5/1 ARM | 5.13% | 5.69% | -0.56 |
| 30 yr fixed mtg refi | 5.96% | 5.96% | 0.00 |
| 15 yr fixed mtg refi | 5.12% | 5.12% | 0.00 |
| 7/1 ARM refi | 6.13% | 6.00% | +0.13 |
| 15 yr jumbo fixed mtg refi | 3.38% | 3.38% | 0.00 |
National Mortgage Rates
| Lender | APR | Payment |
| Searching for Mortgages...  |
Historical Mortgage Rates in New Jersey
New Jersey Mortgage Rates Quick Facts
- Median Home Value: $496,600 (U.S. Census Bureau)
- Loan Funding Rate: 48.35% (CFPB)
- Homeownership Rate: 62.9% (St. Louis Fed)
- Median Monthly Homeownership Costs: $2,138 (U.S. Census Bureau)
New Jersey is one of the five smallest states when it comes to size, but it ranks just outside the top 10 in terms of population. That makes it one of the most densely populated areas in the U.S. The state’s mortgage rates are typically very close to or below the national average.
A financial advisor in New Jersey can help you plan for the homebuying process. Financial advisors can also help with investing and financial plans, including tax, retirement and estate planning, to make sure you are preparing for the future.
*The FHFA stopped reporting new data in 2018.
New Jersey Mortgages Overview
As is typical of many Northeastern states, property in New Jersey is pricier than the nation’s average. The median home value in the state is $496,000.
The conforming limits for New Jersey counties range from the standard $832,750 up to $1,209,750. FHA loan limits see a lot of variation too. There are several counties have conforming and FHA loan limits of $1,209,750. The higher than average loan limits are an indication of how expensive real estate is in New Jersey.
New Jersey sellers have no required disclosures when they put their house on the market, but because of the state’s “common law,” there are certain things sellers should disclose to avoid going to court later on. These would include known defects and anything outlined in a contract of sale. While this protects buyers, a home inspection is still the smartest way to proceed with a property purchase.
30-Year Fixed Mortgage Rates in New Jersey
Unless you can afford to come up with a boatload of cash to purchase a New Jersey house, you are going to be in the market for a home loan. With a 30-year fixed-rate mortgage, as its name tells you, you have 30 years to pay off the loan and the interest rate remains the same or is “fixed” for that entire period of time.
Another option is a 15-year fixed-rate mortgage: you will have less time to pay off this loan and your monthly payments will be higher but you can expect a lower interest rate.
The average New Jersey rate for a fixed 30-year mortgage is 5.99% (Zillow, January 2026).
New Jersey Jumbo Loans
Throughout most of the country, the conforming loan limit is $806,500. That means if you take out a home loan that is over $832,750, you will have what is considered a jumbo loan which comes with higher interest rates. In some pricier areas of the U.S., the conforming loan limit jumps to $1,209,750. This is an acknowledgment of more expensive real estate in those places and you have a bit more leeway to work with before your home loan is considered a jumbo loan.
In the 12 New Jersey counties with a $1,209,750 conforming loan limit you can take out a home loan up to that amount and it is still considered a standard loan and is eligible for normal interest rates.
New Jersey ARM Loan Rates
An adjustable-rate mortgage (ARM) usually offers a lower interest rate for an introductory period of one, three, five, seven or 10 years. When that period ends, the interest rate can change and typically it goes up. If you choose with an adjustable-rate mortgage, know that the interest rate can’t suddenly jump to a level that is off-the-charts high. The interest rate is capped at a specific level in the loan’s terms, which prevents that from happening. However the new interest rate could still be higher than what you can afford to pay. It is important to check the potential maximum interest rate listed in the terms to ensure that it still fits within your budget.
The average rate for a seven-year ARM in New Jersey is 6% (Zillow, January 2026).
New Jersey Mortgage Resources
Whether you’re just starting out or looking for help on your current mortgage, there are resources out there to provide financial assistance for Garden State homebuyers.
The New Jersey Housing and Mortgage Finance Agency Homeward Bound Homeowner program offers 30-year, government-insured loans at a fixed interest rate with no points. The program is open to first-time homebuyers, as well as trade up and trade down borrowers.
Eligible homebuyers in New Jersey may qualify for down payment and closing cost help through a program administered by the New Jersey Housing and Mortgage Finance Agency and often known as Smart Start. When paired with an NJHMFA first mortgage such as Homeward Bound, the program provides up to $15,000 in zero-interest assistance, with the exact amount based on the location of the property.
There is additional funding available through the State of New Jersey Recovery and Reinvestment Weatherization Assistance Program, which helps income-qualifying residents with services to reduce energy costs and boost the health and safety of the homeowner.
The Emergency Rescue Mortgage Assistance (ERMA) program provides eligible New Jersey homeowners with financial help to address mortgage arrears and housing-related costs if they experienced a qualifying COVID-19-related hardship, with assistance of up to $75,000 to bring mortgage payments and other eligible housing expenses current.
The United States Department of Agriculture Rural Development offers nationwide programs in rural communities by offering aid for safe, affordable housing. New Jersey is eligible as well. Loans and grants are available for qualifying residents looking to purchase a new home or repair their current home.
New Jersey Mortgage Taxes
New Jersey charges transfer taxes on real estate transactions. These transfer taxes vary by price and tax status. For homes that cost more than $1 million add a surtax of $6.05 per $500.
New Jersey homeowners who itemize deductions on their federal income taxes can deduct the mortgage interest that they pay throughout the year from their taxable income.
New Jersey Mortgage Refinance
If you have decided to refinance in New Jersey, you should be aware that you can work with the original lender who issued your current mortgage or you can work with other lenders. You should look around and compare different rates to find an outcome that works for your particular situation.
Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
