In 2025, Hackensack's average residential property tax bill was $10,307. In Fair Lawn it was $12,418, and in Englewood it was $14,778. Compare those bills to what homes sold for, though, and Hackensack moves from the cheapest of the three to the most expensive. The reason lies partly in how the city's downtown towers pay for public services, and partly in assessments that are due to be redone in 2027.
The tax line on a Hackensack listing reflects an old assessment
Every listing shows a current tax figure. In Hackensack, that figure comes from an assessment that sits well below market value. New Jersey's 2026 Chapter 123 certification puts Hackensack's average equalization ratio at 74.58%. That means assessments across the city run at about three-quarters of what properties actually sell for.
The city's tax collector lists the 2026 final rate as $3.530 per $100 of assessed value. Multiply that rate by the 74.58% ratio and you get an equalized rate of about 2.63% of market value. That is our own calculation from the two official figures. The state does not publish it as a separate number.
The more important detail for a buyer is the timing. Bergen County's 2026–2027 revaluation and reassessment schedule lists Hackensack among the towns scheduled for 2027. The county dated that list January 7, 2026, and notes it can change. A revaluation brings assessments back in line with market values. Each property's share of the levy then depends on how its value changed compared with everyone else's. A buyer closing in Hackensack this winter may be paying under an assessment system that gets rebuilt within a year or so of moving in.
Hackensack is not alone on that list. Bergenfield, Englewood, Fair Lawn and Tenafly are scheduled for 2027 too. For a buyer comparing these towns, every current tax figure carries the same caveat.
Lowest bill, highest share of the sale price
The state's 2025 Average Residential Statistics report average tax bills alongside average sale prices for each municipality. Divide one by the other and the four towns line up like this:
| Town (2025) | Avg. residential tax bill | Avg. sale price | Bill as share of avg. sale price |
|---|---|---|---|
| Hackensack | $10,307 | $396,963 | about 2.6% |
| Bergenfield | $12,571 | $634,221 | about 2.0% |
| Fair Lawn | $12,418 | $632,794 | about 2.0% |
| Englewood | $14,778 | $835,845 | about 1.8% |
The last column is a rough measure. The state's averages mix condos with single-family homes, and they cover only the properties that sold in 2025. Hackensack's average comes from 299 sales against an average assessment of $321,205. Even so, the roughly 2.6% figure matches the 2.63% equalized rate calculated above, which suggests it reflects how the system actually works.
A Hackensack home costs less to buy than a home in these neighboring towns, but each dollar of its value carries more of the tax load. Part of the explanation has to do with which properties pay into that tax load.
Where the downtown towers' money goes
Many of the large buildings that went up in Hackensack's redevelopment pay an annual service charge under a negotiated agreement, known as a PILOT, in place of conventional property taxes. TAPinto Hackensack described how this works, based on comments from Joe Ranieri, the city's special redevelopment counsel.
- The redeveloper pays a service charge based on the revenue it expects the project to earn that year.
- At year's end, the redeveloper's auditors report the revenue it actually received.
- City auditors review that report and adjust the service charge up or down to match. As Ranieri put it, the redeveloper "typically" ends up paying more because it expected less revenue.
- The auditors also calculate interest on any late payments.
How that money is divided matters more for homeowners. Under the long-term exemption statute, N.J.S.A. 40A:20-12, the municipality sends 5% of the annual service charge to the county. There is no automatic share for the school district. A 2023 law, P.L.2023, c.311, added a narrow exception. A town can contract to pledge PILOT receipts to repay certain school-facility bonds, with state approvals. That is a negotiated arrangement for specific projects, not a standard share for every district.
New Jersey's Office of the State Comptroller explained the effect of this split in a 2010 report on municipal tax abatements. Governing bodies set tax rates to raise the revenue they need. When large properties are exempt from conventional taxes, that revenue has to come from the remaining tax base. The report also found that PILOTs "do little to help other local entities reliant on tax revenue, such as counties and school districts." On a Hackensack homeowner's bill, the school and county portions are funded by the properties that pay conventional taxes. Many of the city's largest new buildings are not among them.
Trenton has considered changing this. A1107 and its Senate companion S3915 proposed requiring towns to share certain PILOT revenue with school districts. Neither became law in the 2024–2025 session. The current-session version, S1807, was introduced January 13, 2026, and has been referred to Senate Budget and Appropriations. It has not been enacted.
The 2026 audit showed what missed payments cost
The PILOT split only works for the city if developers actually pay. In 2026, Hackensack found that many had not, and the city's own announcements track how the amount changed over the year:
- June 25: A city audit identified at least $5.4 million in unclaimed PILOT revenue, with 13 developments in default and three more developers that had not filed required audits.
- August 10: With interest added, the total owed reached $6.7 million. That was more than $4.8 million in unpaid fees plus more than $1.9 million in interest.
- August 14: TAPinto reported that the city's review covered 16 developers that either owed money or had not submitted annual audits, some with balances going back to 2018.
- October 7: The city said it had collected about $3.6 million, up from $1.7 million in August, and five commercial developments had paid in full.
Each of these is a snapshot from a different point in the process, so the figures can't be added together or subtracted from one another. The city's October 7 announcement quoted Deputy Mayor Agatha Toomey saying reclaimed dollars would go toward "smooth streets, neighborhood parks, and a more affordable Hackensack for everyone." The city has not said how the recovered money will affect individual residents' tax bills.
That context explains the April budget. NorthJersey.com reported on April 30 that the municipal portion of Hackensack's 2026 tax was set to rise by more than 10%, largely because of higher health-care costs. That increase applies to the municipal portion only. It does not mean total tax bills rose by the same percentage.
One building shows the gap in dollars
The clearest example is a commercial property at 77 River Street that has had a tax-exemption agreement since 2020. According to the city's October 7 announcement, its payment is calculated from gross revenue, and the City Council introduced an ordinance on October 6 to end the agreement over the annual audits the city says it requires.
The city's estimates show the difference. The property pays about $56,000 a year under its PILOT. Under standard local taxation, the city estimates it would pay about $88,000. That $32,000 difference on a single commercial property shows how much an agreement can change what a property contributes. The council scheduled the public hearing and final vote for October 20 at City Hall.
What a buyer this fall should ask about
For anyone under contract in Hackensack right now, three dates matter. Fourth-quarter taxes are due November 1, with a 10-day grace period. The city's tax collector says unpaid taxes go into accelerated tax sale proceedings starting November 11. If a closing falls near those dates, ask your closing attorney or title company how the quarter's taxes will be divided between buyer and seller. The 2026 final and 2027 preliminary bills were mailed September 16, so a current seller should already have them. The third date is the 2027 revaluation.
Taken together, a Hackensack tax bill reflects three things that are all changing: assessments at about 75% of market value that a revaluation will reset, school and county levies paid only by conventionally taxed properties, and PILOT revenue that the city has been actively collecting this year.
Quick answers
Do Hackensack's PILOT payments fund the public schools? Not automatically. State law sends 5% of each service charge to the county and gives school districts no standard share. The narrow exception is a contract tied to school-facility bonds under the 2023 law.
Will the money the city recovered lower my tax bill? The city has said the money will go toward streets, parks and affordability. It has not said whether or how the recovered money will affect individual residents' tax bills.
Is Hackensack's 2027 revaluation confirmed? The county's schedule lists it for 2027, as of January 7, 2026, and notes that the list can change.
This post is general information, not legal, tax or financial advice. Confirm how these rules apply to your property with your attorney, tax professional or the Hackensack tax office.
If you're buying or selling in Hackensack and want to know what a listing's tax figure is likely to mean after the 2027 revaluation, the team at Links NJ can compare that property with recent sales nearby. Request a free home valuation to get started.
