NJ Is ‘2nd Best State To Live In,’ New Report Says – Here’s Why

The Garden State is a pretty good place to call home – as long as you can afford it, a new study says.

Financial information website WalletHub recently ranked New Jersey at number two on its national list of “Best States To Live In,” which included factors such as housing costs, income, education, crime and health. See the full report and learn about its methodology here.

Only Idaho placed higher on this year’s list. Rounding out the top five were Wisconsin (3^rd), Massachusetts (4^th) and New Hampshire (5^th).

While New Jersey didn’t score well on “affordability” – it ranked 49^th-lowest in the nation, partly due to its immense property taxes – there are plenty of bright spots to consider about life in the Garden State, researchers said.

Some highlights for New Jersey included:

• 6^th lowest percent of population in poverty
• 27^th best percent of insured population
• 11^th lowest percent of adults in fair or poor health
• 14^th lowest average hours worked per week

WalletHub researchers offered some additional details about why they placed New Jersey so high on their 2026 list:

INCOME AND POVERTY

New Jersey has the third-highest median household income in the country at nearly $104,000, researchers said.

“In addition, New Jersey residents have the second-lowest median debt, the equivalent of around 27% of what they earn in a year,” WalletHub reported. “The Garden State has done a good job of tackling poverty, too, with the fifth-lowest share of the population below the poverty line and the fifth-lowest food insecurity rate.”

Other experts have pointed out that there are still many challenges involving wealth inequality and income in New Jersey, however.

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HEALTH

“When it comes to health, New Jersey residents have the second-lowest premature death rate in the nation, the third-lowest obesity rate, and the third-best overall life expectancy,” WalletHub reported.

“One reason for the low obesity rate in particular is the fact that the state has the sixth-most miles of trails and the fifth-most fitness centers per capita, which gives people plenty of opportunities to stay active,” researchers said.

Other major factors in the health category included New Jersey’s hospitals, which have earned high ranks in other reports from sources such as the Leapfrog Hospital Safety report card and an annual list from U.S. News & World Report.

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CRIME

“New Jersey has the ninth-lowest violent crime rate and 17th-lowest property crime rate, due in part to the fact that it has the highest number of law enforcement employees per capita,” WalletHub researchers said.

Crime dropped in New Jersey during 2024 and plunged nationwide, according to recent data from the FBI.

New Jersey saw 20,684 violent crimes with a population of 9,500,851 residents that year: a rate of 217.7 per 100,000 people. That was down from 225.3 per 100,000 people in 2023. The state’s violent crime totals were below the national rate, which came to 359.1 per 100,000 people.

According to long-term trend data from the FBI, the Garden State has seen a big drop in violent crime over the past decades – especially from levels seen in the 1980s and 1990s.

• Related: Is Crime Up Or Down In NJ? See 10 Years Of FBI Stats Here
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QUALITY OF LIFE

New Jersey’s overall “quality of life” also contributed to its second-place finish on this year’s list, WalletHub reported.

The state has a wealth of highly rated restaurants, ranking it sixth-highest per capita in the nation. New Jersey’s mix of outstanding bars, museums, arts centers, beaches and movie theaters also contributes to its quality of life.

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