State rental market reference · Data updated October 18, 2026
New Jersey rental market for DSCR investors: rent, taxes and insurance by county
What a rental in New Jersey rents for, what it costs to carry, and whether it stays rented, from official data for all 21 counties. Read it before you price a deal here.
New Jersey at a glance
What does a rental rent for?
$2,282 a month
HUD's FY2027 2-bedroom Fair Market Rent where most of New Jersey's renters live, from $1,704 (Cumberland County) to $2,792 (Hudson County). It is the government figure for a modest 2-bedroom unit, utilities included, not the rent for a house.
What will property taxes cost?
2.11% of value a year
Homeowners in New Jersey pay a median $9,590 a year on a median home value of $454,400 (Census ACS 2020–2024). A rental can be taxed at a different rate than an owner's home; the local tax bill is the real number.
What will insurance cost?
$1,280 a year
The median that homeowners with a mortgage in New Jersey report paying for homeowners insurance (Census ACS 2020–2024). It is not a landlord quote: a rental policy usually costs more, and flood cover is extra.
Will it stay rented?
3.5% rental vacancy
Share of New Jersey's rental homes vacant and for rent (Census ACS 2020–2024), across 1,268,573 renter households. Lower means rentals fill faster.
Are jobs growing?
Employment up 2.0% in a year
Employed residents in August 2026 against a year earlier; unemployment 4.7% (BLS, not seasonally adjusted, so compare the same month a year apart).
Is new supply coming?
27,661 homes permitted in 2025
About 7.9 new homes per 1,000 households; 46% single-family (Census Building Permits Survey). More new homes means more competition for tenants and buyers.
How often does it flood?
133,520 flood claims since 2005
National Flood Insurance Program claims on properties in New Jersey since 2005, $5.9 billion paid (FEMA). Claims show where water has reached insured buildings; they are not a flood map, so check the FEMA flood zone for the address.
What it means for a DSCR rental in New Jersey
A lender's DSCR is the monthly rent divided by the full monthly payment: principal, interest, property taxes, insurance and any HOA dues. Many lenders accept 1.00x; 1.20x leaves a cushion.
Take a home at New Jersey's median value of $454,400, bought with 25% down on a 7.5% 30-year loan, with the state's typical tax rate and insurance:
- Principal and interest ($340,800 loan)
- $2,383
- Property taxes
- $799
- Insurance
- $107
- Full monthly payment
- $3,289
- Rent for a 1.20x DSCR
- $3,950 a month
The government 2-bedroom figure where most of New Jersey's renters live is $2,282 a month, below the $3,950 that home needs. A house usually rents for more than a 2-bedroom unit, so price the house you are looking at with its own rent. The last column of the table below gives the same figure for each county.
Rules and costs a landlord faces in New Jersey
Each line quotes the official source it comes from and the date it was last checked. These are general rules, not legal advice; local rules can add to them.
- Can rents be capped?
No statewide cap; cities and counties may regulate rents.
The State of New Jersey does not have a law governing rent increases. However, municipalities within the State may adopt ordinances regulating the amount and frequency of rent increases within their specific municipality.
New Jersey Department of Community Affairs, checked October 18, 2026
- What does the state charge to record a purchase?
State tax: $2.00/$500 of consideration not in excess of $150,000.
For total consideration not in excess of $350,000: ... $2.00/$500 of consideration not in excess of $150,000; ... $3.90/$500 of consideration in excess of $200,000 but not in excess of $350,000.
New Jersey Division of Taxation, Department of the Treasury, checked October 18, 2026
- Is a rental taxed like the owner's home?
A rental does not get the owner's homestead benefit.
Can I apply for a vacation home I own in New Jersey? No. Benefits are only available for your principal residence. Vacation homes, rental properties, or second homes do not qualify.
New Jersey Division of Taxation, Department of the Treasury, checked October 18, 2026
Market hubs in New Jersey
DSCRInfo does not publish a monthly market hub in New Jersey yet. The figures above and the table below cover every county; the market hubs cover other states.
New Jersey by county
All 21 counties, most renter households first. "Rent for 1.20x" is the monthly rent a home at that county's median value needs on the example loan above. A dash means the source publishes no reliable figure there.
| County | 2-bed FMR | Property tax | Insurance / yr | Rental vacancy | Jobs, 1 yr | Permits | Flood claims | Rent for 1.20x |
|---|---|---|---|---|---|---|---|---|
| Hudson County | $2,792 | 1.77% | $1,300 | 4.4% | +2.6% | 3,352 | 4,329 | $4,480 |
| Essex County | $2,233 | 1.91% | $1,440 | 2.7% | +2.2% | 3,657 | 3,807 | $4,440 |
| Bergen County | $2,282 | 1.61% | $1,340 | 3.0% | +2.6% | 2,970 | 10,356 | $5,060 |
| Middlesex County | $2,623 | 2.10% | $1,160 | 2.4% | +1.4% | 1,476 | 3,838 | $4,000 |
| Union County | $2,233 | 1.89% | $1,290 | 3.1% | +2.2% | 1,228 | 4,920 | $4,460 |
| Passaic County | $2,282 | 2.18% | $1,260 | 2.1% | +2.6% | 585 | 9,114 | $4,020 |
| Camden County | $1,860 | 2.83% | $1,230 | 3.7% | +3.0% | 820 | 721 | $2,740 |
| Monmouth County | $2,283 | 1.65% | $1,440 | 4.2% | +1.4% | 2,138 | 13,513 | $4,960 |
| Mercer County | $2,242 | 2.36% | $1,200 | 2.9% | +1.6% | 1,164 | 1,275 | $3,390 |
| Morris County | $2,233 | 1.72% | $1,250 | 3.3% | +2.2% | 1,324 | 5,500 | $4,790 |
| Ocean County | $2,283 | 1.65% | $1,310 | 3.1% | +1.5% | 2,831 | 41,210 | $3,300 |
| Burlington County | $1,860 | 2.26% | $1,260 | 3.6% | +2.9% | 1,624 | 1,391 | $3,150 |
| Atlantic County | $1,899 | 2.30% | $1,320 | 4.3% | -1.2% | 759 | 12,683 | $2,670 |
| Somerset County | $2,623 | 1.81% | $1,200 | 2.0% | +1.4% | 763 | 4,412 | $4,590 |
| Gloucester County | $1,860 | 2.60% | $1,250 | 3.9% | +2.9% | 921 | 426 | $2,890 |
| Cumberland County | $1,704 | 2.28% | $1,160 | 4.3% | +2.5% | 143 | 391 | $2,010 |
| Warren County | $2,021 | 2.34% | $1,100 | 0.8% | +2.7% | 335 | 790 | $3,100 |
| Sussex County | $2,233 | 2.32% | $1,130 | 4.4% | +1.9% | 96 | 103 | $3,290 |
| Cape May County | $1,857 | 1.22% | $1,480 | 26.1% | -1.4% | 854 | 13,025 | $3,410 |
| Hunterdon County | $2,623 | 1.93% | $1,290 | 2.5% | +1.9% | 544 | 1,164 | $4,380 |
| Salem County | $1,860 | 2.93% | $1,290 | 6.3% | +1.4% | 77 | 437 | $2,340 |
Where these numbers come from
- 2-bedroom Fair Market Rent
- HUD's FY2027 Fair Market Rents, in effect from October 1, 2026: the rent and utilities of a modest 2-bedroom unit, set for housing vouchers. It is not a house rent. Where HUD publishes by town (New England), the county shows the range. HUD Fair Market Rents
- Property tax, insurance, vacancy and home value
- Census American Community Survey 5-year estimates, 2020–2024. Property tax is the median tax paid divided by the median home value of owner-occupied homes. Insurance is the median that owners with a mortgage report paying, not a landlord quote. Rental vacancy is homes vacant for rent divided by all rental homes. Figures from too few homes are left blank. American Community Survey
- Jobs
- BLS Local Area Unemployment Statistics: employed residents in August 2026 against the same month a year earlier, not seasonally adjusted. BLS LAUS
- Permits
- Census Building Permits Survey: new housing units authorized in 2025, all building sizes. Building Permits Survey
- Flood claims
- FEMA National Flood Insurance Program claims with a loss in 2005 or later, and the net amount paid. Only insured buildings appear. Check a flood zone
These are screening figures for comparing places, not a quote, an appraisal or a loan offer. New Jersey total flood payments since 2005: $5.9 billion.