Maplewood vs Upper Saddle River A $1.2 million home in Maplewood might be taxed in the $32k- $35k range (or more)
Upper Saddle River could be closer to 18k-24k Difference: $12k+ per year
Glen Ridge vs Mahwah Glen Ridge often sees taxes in the mid $30K for certain homes. Mahwah might offer similar sized homes for $16k-$20k. Difference: $15k+ per year. You can begin by checking the taxes in towns you personally feel drawn to. But I can assure you that these patterns repeat over and over throughout the state.
Impact of Lower Taxes on Your Buying Power
Most homeowners think of taxes in yearly chunks, but lenders calculate your maximum purchase price based on monthly income and expenses. A $1,000 reduction in taxes per month could increase your buying power by well over $150,000 depending on interest rate, credit profile, and loan terms. Here is a simple illustration. These are estimates only. Your results will vary based on your credit score, loan type, down payment, lender guidelines, and current rates. Monthly Savings Yearly Savings Add'l Buying Power Approx. ----------------------------------------------------------------------- $500 $6,000 $75,000 to $90,000 $750 $9,000 $110,000 to $140,000 $1,000 $12,000 $150,000 to $190,000 $1,250 $15,000 $185,000 to $230,000 $1,500 $18,000 $225,000 to $275,000
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