Home Buying in Union City>Question Details

AMC, Home Buyer in Brooklyn, NY

Am I interpreting the NJ real estate taxes correctly??

Asked by AMC, Brooklyn, NY Thu Jun 27, 2013

I'm a first time home buyer looking at condos in Union City, NJ but am I really seeing that real estate taxes were 6.43% last year?

Source:http://www.state.nj.us/treasury/taxation/pdf/lpt/gtr12uni.pdf

Does that really mean for a $300,000 condo I will be paying close to $20k in taxes?

Help! I'm super confused

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Answers

6
BEST ANSWER
Union City permits a 5 year tax abatement on new construction development , which equates to tax of 20%, 40%, 60%, 80% and then 100% of assessed value after the first year. Due to the fact that properties are built in different years, for example, some will be signifantly less than others, depending upon what year the abatement is in or whether the abatement has run out. With values having declined due to the economy, it would be wise fo an owner to appeal their current assessment, if they have not already done so, because excepting in the case of something built and sold within the last couple of years, it is likely they are assessed based on higher sale prices than those that would be attainable now.

For 2012 Union C itynew construdction is assessed currently at about 64% of it's true market value and then multiplied by a tax rate of $48.37 per $1,000 of that assessed value.

The taxes on a property ASSESSED at $300,000 would be approximately $14,500 , however, if a brand new property were purchased at $300,000 right now the 100% tax number would be approximately $9,300.

Hope this helps.

Barbara Tulko
RE/MAX Villa Realtors
201-218-4009 (cell)

Here are the tax ratio percentages and rates used by all Hudson County communities for 2012.

County District City TaxRate Ratio
0901
BAYONNE
71.14 43.92
0902
EAST NEWARK
86.27 29.52
0903
GUTTENBERG
34.48 88.85
0904
HARRISON
64.22 47.58
0905
HOBOKEN
47.50 30.93
0906
JERSEY CITY
71.84 32.72
0907
KEARNY
96.18 33.07
0908
NORTH BERGEN
49.53 53.24
0909
SECAUCUS
36.97 51.78
0910
UNION CITY
64.01 48.37
0911
WEEHAWKEN
43.45 46.75
0912
WEST NEW YORK
64.60 40.31
0 votes Thank Flag Link Thu Jun 27, 2013
I pasted the wrong link.

I meant to paste the Hudson County list with the Union City

Here is the correct one: http://www.state.nj.us/treasury/taxation/pdf/lpt/gtr12hud.pdf

Thank you for all the helpful responses.
0 votes Thank Flag Link Fri Jun 28, 2013
I wasn't responding to your post Barbara...If you look that the link that AMC posted in the original question its a link for Union County towns...I didn't see your response just the original question...But yes what you answered is correct.
0 votes Thank Flag Link Fri Jun 28, 2013
Anthony...I believe the list I gave this prospective purchaser was in fact the list of Ratios and Rates for all Hudson County Communities, not Union County , so I am not sure just wat you are saying is not a correct intrpretation.

Is there something different in what you said than what I responded?

To the Buyer....you can use the ratios and rates that I posted below as a guide. Meaning that if you were to purchase a new construction property that was assessed at $300,000, the taxable value would be 64% of that $300k and then multiplied by the rate per $1,000.

Again, please reread what I posted about the percentage of the total that would be due for each of the first 5 years.

Barbara
0 votes Thank Flag Link Fri Jun 28, 2013
That is not a correct interpretation...First thing is that sheet you are looking at is for Union County not Union City (which is in Hudson County- the one closer to NYC). The taxes are going to be different for each city and property for that matter. If the property is new construction it is Tax Abated, if it had a tax abatement and it is expired after the 5 years are up then they are based on the original buyers purchase amount. Then there are older properties that are based on the tax rate and assessed value and a whole formula behind that.

Easiest is to ask what the taxes are for a particular property- and remember that you can argue them.

If you would like more help feel free to call me direct.

Anthony F. Curty
Realtor Associate
2009-2012 NJAR Circle of Excellence
Liberty Realty
1 Marine View Plaza
Hoboken NJ 07030
C-201-937-8802
F-877-456-5484
O-201-610-1010
AnthonyCurty@Gmail.Com
0 votes Thank Flag Link Fri Jun 28, 2013
Barbara answered it perfectly. If that is still confusing - the simple answer is no it won't cost $20k.

NJ taxes are very high and Union City is no slouch. But there are other things to consider in the equation as well. If you work in the city and lived in NJ, you would no longer need to pay city tax ...for now anyway(NYC may change that in the future). You should talk to an accountant for specifics and get an idea about how your year end tax return and no city tax would look.
0 votes Thank Flag Link Thu Jun 27, 2013
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