1.8M Eligible For Proposed NJ Property Tax Relief Program: Murphy

NEW JERSEY — Gov. Phil Murphy on Thursday unveiled a new property tax relief program that will distribute $900 million to nearly 1.8 million homeowners and renters across the state, according to a statement from the governor's office.

The ANCHOR Property Tax Relief Program is included in the governor's proposed budget for fiscal year 2023, scheduled for release next week. It replaces the Homestead Rebate Program, which affects 470,000 homeowners annually and provides an average benefit of $626. Renters are not eligible for the current Homestead program.

Under the new program, homeowners making up to $250,000 per year will be eligible to receive an average $700 rebate to offset property tax costs. Also, renters making up to $100,000 per year will eligible for a rebate of up to $250 to help with rent increases due to property taxes.

The program will lower "the effective average property tax cost back to 2016 levels for many households that were previously ineligible for property tax relief," Murphy's statement read.

"This program will provide direct property tax relief to households regardless of whether they own or rent," Murphy said in a statement. "While the state does not set property taxes, we believe that we must take action to offset costs and make life in New Jersey more affordable."

If approved as part of the 2023 budget, Murphy said he wants to grow the program over the next three years to provide as much as $1,150 on average per eligible household. The investment would cost the state about $1.5 billion annually.