Tax tales of three towns
John Patten
Hillsborough, Bernards Township and Middlesex County’s South Brunswick are typical fast-growing suburban communities. Condominum developments are a part of the landscape in all three towns, and they also share developments comprised of nearly identical units, providing a glimpse of how the towns compare through the property tax bills.
Of course, there are many differences in the towns, as well as the developments themselves, but they can provide as close as may be possible an apples-to-apples comparison between the tax burdens faced in the communities.
Local districts also comparable How does Hillsborough’s school spending compare to the districts in Bernards and South Brunswick townships? All three districts are in the same district factor group "I" the state’s system for classifying school districts based on socioeconomic factors. Hillsborough’s cost per pupil the amount spent on operating the school district is the lowest of the three. Hillsborough’s cost is $7,796 per pupil, compared to $8,614 per pupil in Bernards and $8,241 in South Brunswick. Of the money spent on running the schools, Hillsborough falls between the two other districts, in terms of how much is spent on instruction. Deducting administrative and maintenance costs leaves Hillsborough with $5,045 per pupil; Bernards with $5,370 per pupil; and South Brunswick with $4,946. Hillsborough also falls between the other districts in terms of class offerings and SAT scores. Students at Hillsborough High School can choose from 14 advanced placement classes besting Bernards’ Ridge High School by one class, but falling two short of South Brunswick High School’s advanced curricula. Hillsborough’s average SAT scores are 565 and 519 in verbal and math, respectively, compared to Bernards’ scores of 570 and 550, and South Brunswick’s 540 and 511. |
The communities also share a common classification of school districts, set by the state Department of Education, for compiling school performance and report card comparisons.
And surprisingly, whether you live in Bernards or South Brunswick or Hillsborough, your property tax bill will be nearly the same. Despite higher property values in Bernards or the presence of huge commercial tracts in South Brunswick, the property tax bills for three very similar condos are within $156.
The units were all built within the last decade, and are each about 1,500 square feet area. Each unit was recently listed for sale through New Jersey Realtors, allowing a glimpse into the differences in the tax bills.
The most expensive property was the condo in Bernards, with an asking price of $294,000. The property carried an assessed value in 2000 of $197,200, and when equalized for purposes of calculating county taxes, the taxable assessment was $183,237.
The South Brunswick condo recently sold for $213,900, and was assessed in 2000 for $145,500 (equalized assessment: $141,344). The Hillsborough condo in the Glen Hills division listed for $207,900 and is assessed at $129,500.
Because Hillsborough’s assessments are at 92 percent of full assessment (see story at right on tax assessments), the equalized assessment for the Hillsborough condo is higher than its municipal assessment $136,344.
The owners of the Bernards condo paid a total tax bill of $3,510 in 2000 $113 less than the owners of the Hillsborough property ($3,613) and $156 less than the owners of the South Brunswick condo ($3,666).
The Bernards condo owner also contributed the least amount toward local schools of the three towns, with school taxes representing $1,807 of the total bill. Hillsborough’s school tax portion was $2,475 and South Brunswick’s was $2,346.
The Hillsborough condo, however, had the least expensive municipal taxes, with a bill of just $380, compared to $661 in Bernards and $608 in South Brunswick.
The tax bills also include other taxes open space programs and fire districts, for example but at the bottom line, the tax bills are very similar.