Bottom Line: New Jersey offers plenty of affordable housing options, with median home prices ranging from $151,000 in Camden to under $400,000 in commuter-friendly towns like Rahway and Perth Amboy. Combined with competitive first-time buyer programs and strategic location near NYC, the Garden State provides excellent value for budget-conscious buyers.
Finding affordable places to live in nj might seem impossible given the state’s reputation for high costs. With a median home price of $520,700 and property taxes averaging 2.23%, many buyers assume the Garden State is out of reach. However, New Jersey offers numerous budget-friendly communities where you can enjoy excellent schools, convenient NYC commutes, and quality of life—all without breaking the bank.
Whether you’re a first-time buyer seeking a starter home under $300,000, a NYC commuter looking for affordable options within 60 minutes of Manhattan, or a retiree wanting low taxes and walkable neighborhoods, this comprehensive guide reveals 20 affordable places that deliver on your budget and lifestyle needs.
Methodology: How We Ranked Affordable Places to Live in NJ
Our analysis combines data from multiple authoritative sources to identify the most budget-friendly communities across New Jersey. We evaluated each location based on:
- Median home sale prices from Redfin Data Center (April 2025)
- Property tax rates from NJ Division of Taxation (2024-2025 data)
- Cost of living indices from Niche.com and local economic data
- Transit accessibility including PATH, NJ Transit, and commute times to NYC
- Quality of life factors such as schools, safety, and local amenities
All featured towns have median home prices below the state average of $520,700, with most offering homes under $400,000.
Top 20 Budget-Friendly Towns & Cities in New Jersey
#1 Camden
Median home price: $151,000
Average property tax rate: 2.42%
Nearest major metro: Philadelphia (5 miles)
Transit score: High – PATCO Hi-Speedline to Philadelphia
Camden is the most affordable place to live in New Jersey with a median home sale price of $151,000. Located just five miles from Philadelphia, this diverse city of 71,800 residents offers tremendous value for budget-conscious buyers. You will find cheap houses for sale in New Jersey under 250K in cities like Camden, making it ideal for first-time buyers.
Camden features revitalized waterfront areas including Wiggins Waterfront Park with its riverfront promenade and the nearby Adventure Aquarium. The Battleship New Jersey museum provides unique historical attractions, while downtown offers growing arts and dining scenes.
Camden homes for sale → (Search “Camden, NJ” in our property listings)
#2 Trenton
Median home price: $225,000
Average property tax rate: 2.89%
Nearest major metro: Philadelphia (30 miles)
Transit score: High – NJ Transit to NYC and Philadelphia
Trenton, as the state capital with 90,900 people, offers housing costs that are 21.7% lower than the national average. The city combines urban energy with affordability, featuring iconic landmarks like the New Jersey State Museum and Old Barracks Museum.
Job seekers, rejoice! NJM Insurance Group and Hutchinson are top employers, which makes Trenton an ideal spot for young adults. The downtown area is experiencing ongoing revitalization, making it an attractive option for buyers seeking growth potential.
Trenton real estate listings → (Search “Trenton, NJ” for current availability)
#3 Vineland
Median home price: $189,000
Average property tax rate: 2.55%
Nearest major metro: Philadelphia (55 miles)
Transit score: Moderate – Bus connections to regional transit
Located in Cumberland County, Vineland is known for its agricultural heritage and scenic rural landscape. Cities like Vineland, where housing costs are 29.7% lower than the US average, it sure thrives for families. The downtown area features the historic Landis Theater and a growing collection of local shops and restaurants.
Single-family homes typically start in the low $100s, with many properties featuring larger lots compared to urban areas. The agricultural setting provides a slower pace of life while maintaining access to Philadelphia and Atlantic City.
#4 Perth Amboy
Median home price: $380,000
Average property tax rate: 2.67%
Nearest major metro: Newark (25 miles)
Transit score: High – NJ Transit train to NYC
Perth Amboy, home to roughly 55,400 residents, offers historic charm with the High Street Municipal Fishing Pier and the historic Proprietary House dating back to 1764. The city provides excellent value for commuters, with direct train service to Manhattan in under an hour.
Smith Street features diverse dining and shopping options, while the waterfront offers recreational opportunities. The city’s multicultural community creates a vibrant atmosphere with numerous cultural events throughout the year.
#5 Plainfield
Median home price: $449,000
Average property tax rate: 2.78%
Nearest major metro: Newark (18 miles)
Transit score: High – NJ Transit train to NYC
Plainfield, with a population of about 54,600, offers exploring parks like Cedar Brook Park and Green Brook Park. The city combines suburban comfort with urban convenience, featuring a charming downtown area and easy access to major employment centers.
The community is known for its historic homes and tree-lined streets, providing an appealing residential environment for families and professionals alike.
#6 New Brunswick
Median home price: $405,000
Average property tax rate: 2.45%
Nearest major metro: New York City (35 miles)
Transit score: Excellent – Multiple NJ Transit lines
New Brunswick, with 55,300 residents, offers the perks of city-life without living in a major metropolitan area. Home to Rutgers University, the city features Boyd Park along the Raritan River and numerous theaters and entertainment venues.
The downtown area offers diverse dining and shopping options, while the university presence creates a dynamic cultural scene with concerts, lectures, and sporting events.
#7 Clayton
Median home price: $285,000
Average property tax rate: 2.25%
Nearest major metro: Philadelphia (25 miles)
Transit score: Moderate – Bus connections to regional transit
Clayton is where affordability meets suburban charm, with home prices 35% below the US median and a third of Clayton’s land dedicated to parks and recreation. This sparse suburb offers small-town vibes with access to major cities like Philadelphia and Atlantic City.
The community features quality education at Herma Simmons Elementary School and Clayton High School, plus active youth sports organizations like Clayton Little League. The extensive parkland makes it ideal for outdoor enthusiasts.
#8 East Orange
Median home price: $315,000
Average property tax rate: 2.89%
Nearest major metro: New York City (15 miles)
Transit score: Excellent – NJ Transit trains to Manhattan
East Orange is a highly affordable option among the cities in Essex County. Its proximity to New York City makes it a great choice for commuters, with access to NJ Transit rail services offering an easy trip into Manhattan. The city provides excellent value for professionals working in NYC.
The community offers diverse housing options from single-family homes to apartment complexes, with ongoing neighborhood revitalization efforts improving local amenities and property values.
#9 Gloucester City
Median home price: $245,000
Average property tax rate: 2.34%
Nearest major metro: Philadelphia (7 miles)
Transit score: High – Close to Philadelphia transit
Gloucester City offers an eclectic mix of waterfront views and active nightlife, sitting along the Delaware River at the border of New Jersey and Pennsylvania, connected to Philadelphia by the famous Walt Whitman Bridge. Retirees love Gloucester City, which has 4% lower healthcare costs and scenic spots like Proprietor’s Park Riverwalk.
Families appreciate top-rated schools like Gloucester City Middle School and High School, while outdoor enthusiasts can explore state parks or enjoy the Delaware River waterfront at Proprietors Park.
#10 Rahway
Median home price: $378,000
Average property tax rate: 2.67%
Nearest major metro: New York City (30 miles)
Transit score: Excellent – NJ Transit Northeast Corridor Line
Rahway is an affordable option for commuters, with a convenient train connection to New York City. The city’s focus on community engagement, with events like farmers’ markets, concerts, and family festivals, adds to its appeal. The walkable downtown features restaurants, boutiques, and the popular Union County Performing Arts Center.
The city’s mix of affordable housing, excellent public transit, and community-driven environment makes it desirable for families, young professionals, and retirees.
#11 Pennsauken Township
Median home price: $285,000
Average property tax rate: 2.44%
Nearest major metro: Philadelphia (8 miles)
Transit score: High – River LINE light rail system
With its modest housing prices, diverse population, and access to employment, Pennsauken Township tops many lists of most affordable places to live in New Jersey. Its transit center allows residents to navigate the surrounding areas with ease. The township offers excellent value for Philadelphia commuters.
#12 Linden
Median home price: $395,000
Average property tax rate: 2.78%
Nearest major metro: Newark (12 miles)
Transit score: High – NJ Transit train service
Linden features affordable housing prices and good access to public transport. The community is growing, making it desirable for homebuyers. The city provides a good balance of affordability and convenience for NYC area workers.
#13 Union
Median home price: $425,000
Average property tax rate: 2.95%
Nearest major metro: Newark (10 miles)
Transit score: High – Multiple NJ Transit options
Union offers suburban charm with easy access to major employment centers. The township features good schools, parks, and shopping centers while maintaining reasonable home prices for the region.
#14 Clifton
Median home price: $465,000
Average property tax rate: 2.56%
Nearest major metro: New York City (15 miles)
Transit score: High – Multiple transit options
Clifton has a strong local economy with diverse job opportunities. The market is also stable. The city offers excellent schools, numerous parks, and diverse dining options while remaining more affordable than neighboring areas.
#15 Pitman
Median home price: $295,000
Average property tax rate: 2.25%
Nearest major metro: Philadelphia (20 miles)
Transit score: Moderate – Bus connections
Pitman is an affordable place to live in New Jersey that attracts a lot of young professionals, thanks to the bustling business district in Uptown Pitman and its vast selection of local businesses. The borough maintains a small-town feel with modern amenities.
#16 Atlantic City
Median home price: $185,000
Average property tax rate: 2.88%
Nearest major metro: Philadelphia (60 miles)
Transit score: Moderate – Bus and train connections
If you want affordability with a side of neon lights and non-stop entertainment, Atlantic City is your place. Housing here is a steal, and the cost of transportation is 64.6% below the US average. The famous boardwalk and casino district provide unique entertainment options.
#17 Phillipsburg
Median home price: $275,000
Average property tax rate: 2.45%
Nearest major metro: Allentown, PA (25 miles)
Transit score: Moderate – Bus connections
Phillipsburg offers history buffs the chance to learn about New Jersey railroads and attend annual events like the Phillipsburg Railroad Festival and Pork Roll Palooza at the Phillipsburg Railroad Historians Museum. The town provides small-town charm with recreational facilities like Walter’s Park.
#18 Newark
Median home price: $385,000
Average property tax rate: 2.89%
Nearest major metro: New York City (8 miles)
Transit score: Excellent – Major transportation hub
Newark might be best known for its airport, but this city offers much more. It boasts affordable housing options, a growing scene of restaurants and entertainment venues and a robust public transportation system. NJ Transit trains and Amtrak services provide easy access to Manhattan in under 20 minutes.
#19 Jersey City (Downtown/Journal Square)
Median home price: $485,000
Average property tax rate: 2.67%
Nearest major metro: New York City (5 miles)
Transit score: Excellent – PATH trains to Manhattan
Often considered an extension of Manhattan, Jersey City has undergone significant development over recent decades. The PATH train and various ferries make commuting to NYC a breeze, often taking less than 20 minutes. Affordable apartments and homes are available in neighborhoods like Journal Square.
#20 Bayonne
Median home price: $465,000
Average property tax rate: 2.78%
Nearest major metro: New York City (8 miles)
Transit score: High – Light rail to PATH connections
Bayonne is increasingly gaining attention as one of the most affordable places to live in New Jersey near NYC. It offers a suburban vibe with vast green spaces, reputable schools and a giant waterfront park. The light rail connects to PATH trains for easy Manhattan access.
Comparing Cost of Living Across NJ
| Category | Camden | Trenton | Vineland | Perth Amboy | Gloucester City | NJ Average |
|---|---|---|---|---|---|---|
| Housing Costs | 68% below US avg | 21.7% below US avg | 29.7% below US avg | 15% below US avg | 18% below US avg | 12% above US avg |
| Transportation | 25% below US avg | 15% below US avg | 20% below US avg | 10% below US avg | 22% below US avg | 5% above US avg |
| Healthcare | 8% below US avg | 3% below US avg | 12% below US avg | 2% above US avg | 4% below US avg | 8% above US avg |
| Groceries | 5% below US avg | 2% above US avg | 8% below US avg | 3% above US avg | 1% below US avg | 6% above US avg |
How to Pick the Right Affordable Town for You
Property Tax Considerations
As of 2025, New Jersey’s average property tax rate is 2.23%, the highest in the United States according to the Tax Foundation. That means if you own a $400,000 home, your annual property tax bill would be about $8,920. However, tax rates vary significantly by municipality based on official NJ property tax data:
Lowest Property Tax Towns (from our list):
- Clayton: 2.25%
- Pitman: 2.25%
- Gloucester City: 2.34%
Key Tax-Saving Tips:
- File a Tax Appeal: If your home’s assessed value is too high, you can appeal by April 1st. Many appeals result in 10–25% reductions
- Apply for Exemptions: Use the Senior Freeze, Veteran Deduction, and Homestead Benefit to save $250–$1,500 annually
First-Time Buyer Programs
New Jersey offers excellent support for first-time homebuyers:
NJHMFA Down Payment Assistance Program The NJHMFA state-wide Down Payment Assistance Program (DPA) provides up to $15,000 based upon the county of the property being purchased. The DPA is an interest-free, five-year forgivable second loan with no monthly payment. This can significantly reduce your upfront costs in any of our featured affordable towns.
First-Time Homebuyer Mortgage Program The New Jersey Housing and Mortgage Finance Agency’s (NJHMFA) First-Time Homebuyer Mortgage Program provides qualified New Jersey first-time homebuyers with a competitive 30-year, fixed-rate government-insured loan (FHA/VA/USDA) originated through an NJHMFA participating lender.
HUD New Jersey Programs The U.S. Department of Housing and Urban Development offers additional federal assistance programs for New Jersey first-time homebuyers, including FHA loans with as little as 3.5% down payment.
Local Programs:
- Camden County: First-time homebuyer assistance up to $15,000
- Atlantic City: Up to 10% of purchase price for down payment assistance
- Bergen County: American Dream Program for county residents
Pre-Approval Steps
- Check your credit score – Most programs require 620+ FICO scores
- Calculate debt-to-income ratio – Keep below 43% for best rates using the BLS CPI Calculator for cost comparisons
- Save for down payment – Even 3-5% down opens many options
- Get pre-approved – Shows sellers you’re a serious buyer
Frequently Asked Questions
What is the cheapest place to live in NJ?
Camden is the most affordable place to live in New Jersey with a median home sale price of $151,000. Other very affordable options include Vineland ($189,000), Atlantic City ($185,000), and Trenton ($225,000).
Which NJ county has the lowest property taxes?
Cumberland County has the lowest property tax in the state, collecting an average tax of $3,744.00 (2.13% of median home value) per year. However, Hunterdon County collects the highest property tax in New Jersey, levying an average of $8,523.00 (1.91% of median home value) yearly according to official state tax data.
Are there affordable beach towns in NJ?
Yes! Atlantic City offers waterfront living with a median home price of $185,000. For slightly higher budgets, consider towns near the shore in Ocean County or Monmouth County, where you can find homes under $400,000 within driving distance of beaches.
Where can I live in NJ and commute cheaply to NYC?
The best affordable options for NYC commuters include:
- Newark: 20 minutes to Manhattan via NJ Transit, $385,000 median home price
- Jersey City (Journal Square): PATH train access, $485,000 median
- East Orange: NJ Transit service, $315,000 median
- Perth Amboy: Train to NYC, $380,000 median
Check the NJ Transit rail map for specific commute times and routes from these affordable communities.
Next Steps: Start Your Home Search Today
Ready to explore these affordable New Jersey communities? Robert DeFalco Realty specializes in helping buyers find their perfect home throughout New Jersey. Our experienced agents understand local markets, pricing trends, and can help you navigate first-time buyer programs.
Take Action Now:
- Browse all NJ listings – Search by town, price range, and features
- Schedule a showing – Visit your favorite communities in person
- Download our First-Time Buyer Guide – Get expert tips and local market insights
- Contact our NJ specialists – Speak with agents who know these affordable markets
Call Today: (718) 987-7900 Serving all of New Jersey.
Conclusion
New Jersey’s affordable housing market offers tremendous opportunities for buyers willing to explore beyond the most expensive suburbs. From Camden’s $151,000 median home prices to commuter-friendly options like Rahway and Perth Amboy under $400,000, the Garden State provides excellent value.
Combined with robust first-time buyer programs offering up to $15,000 in down payment assistance and strategic locations near NYC and Philadelphia, these 20 communities prove that homeownership in New Jersey is more achievable than many realize.
Don’t let high-priced reputations discourage your New Jersey home search. Contact Robert DeFalco Realty today for personalized guidance on finding your affordable dream home in the Garden State.
This guide was last updated July 2025. Home prices and programs subject to change. Contact Robert DeFalco Realty for current market conditions and availability.