Property Taxes in Ocean City, New Jersey
Median Ocean City, New Jersey effective property tax rate: 1.12%, significantly lower than the national median of 1.02%, and lower than the New Jersey state median of 2.88%.
Median Ocean City, New Jersey home value: $561,700
Median annual Ocean City, New Jersey tax bill: $5,922, higher by $3,522 than the national median property tax bill of $2,400.
How are property taxes in Cape May calculated?
Property taxes in Ocean City, New Jersey are calculated based on the tax assessed value, which is often lower than the actual market value due to property tax exemptions such as the homestead or senior exemption.
Understanding Ocean City's property tax system, exemptions, and reduction opportunities can lead to significant savings. Regardless of where you live in Ocean City, knowing local tax details benefits homeowners and investors.
Last Updated April 13, 2026
How Does the Ocean City Property Tax Calculator Work?
Use this Ocean City property tax calculator to estimate your annual property tax bill. Enter your property's assessed value and our calculator applies Ocean City's median effective tax rate of 1.12% — based on actual property records in Cape May County — to generate your estimate.
Enter your property's estimated assessed value — the figure the local appraisal district uses to calculate your bill, which reflects any exemptions you hold and is typically lower than your home's market value. Our calculator applies Ocean City's median effective rate across all local levies, providing a more accurate estimate than applying a single county millage rate.
Your bill may vary by ZIP code within Ocean City: rates range from 1.12% in 08226 to 1.12% in 08226, primarily due to differences in school district levies and local assessment districts.
For a more precise estimate, scroll down to explore ZIP code-level tax rate trends across Ocean City.
About Ocean City Property Taxes
About Property Taxes in Ocean City, Cape May, New Jersey
Ocean City's median effective property tax rate of 1.12% is lower than the New Jersey state median of 2.88% and higher than the national median of 1.02%. This rate reflects the Cape May County base levy combined with local school district levies and special assessment districts that vary by subdivision throughout the city.
Property tax rates are not uniform across Ocean City. Homeowners in the 08226 ZIP code carry a median effective rate of 1.12%, while those in the lowest ZIP also pay 1.12%. This reflects how school district boundaries and local assessment districts are drawn across Cape May County. Understanding where you live in Ocean City can still help you better evaluate your annual tax bill.
Ocean City homeowners who believe their assessed value is too high can file a formal appeal with the Tax Assessor before the April 1, 2026 deadline each year.
If your estimated bill seems higher than expected, Ownwell can review your assessment and protest on your behalf. You only pay if we save you money.
Property Tax Rates Across Ocean City, Cape May County, New Jersey
As noted earlier, local government entities set tax rates, which can vary widely within a state.
Why? Because annually, each county estimates its required budget to provide services and divides that by the total value of all taxable property within its jurisdiction. This calculation results in the property tax rate.
While there are votes and laws involved in setting tax rates and budgets, in a nutshell, this is the annual process.
Below, you can compare Ocean City’s effective property tax rate to other cities in New Jersey and the median property tax rates in New Jersey and the U.S.
Our median effective property tax rate (tax bill ÷ assessor's market value) accounts for exemptions and deductions, making it more accurate than the general median tax rate, which is the midpoint of statutory rates before adjustments.
Median Effective Ocean City Tax Rate
1.12%
Our median effective property tax rate (tax bill ÷ assessor's market value) accounts for exemptions and deductions, making it more accurate than the general median tax rate, which is the midpoint of statutory rates before adjustments.
Median Effective Cape May County Tax Rate
1.55%
Median Effective New Jersey Tax Rate
2.88%
Median Effective United States Tax Rate
1.27%
Property Tax Rates Across Ocean City, Cape May County, New Jersey
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 08226 | 0.89% | 1.12% | 1.12% | 1.12% | 1.12% |
Source: Ownwell
Property Tax Assessment Values Across Ocean City, Cape May County, New Jersey
When examining property taxes in Ocean City, New Jersey, understanding the distinction between market value and assessed value is crucial.
The market value is what a willing buyer would pay to a willing seller in an open and competitive market, often influenced by location, property condition, and economic market trends. The Cape May County appraisal district estimates the market value for tax purposes.
The assessed value is the market value minus any applicable exemptions or limits determined by local laws and offerings. The tax assessed value is the figure used to calculate your property taxes or the amount multiplied by your tax rate to get your tax bill.
Assessment notices:
In Cape May County, assessment notices are sent in the spring each year. They'll typically reach your mailbox by the middle of February.
Each property owner receives an assessment notice that contains both the market value and assessed value, along with an estimate of your property tax bill. For Ocean City, the median home price is $561,700, with a median tax bill of $5,922. The 25th percentile tax bill is $3,960, while the 75th percentile is $9,169 and the 90th percentile is $14,912. The highest median home price is in 08226 at $561,700.
Property Tax Assessment Values Across Ocean City, Cape May County, New Jersey
Source: Ownwell
$152,600
$795,525
$1,438,450
Median Ocean City Market Value
$561,700
Median Cape May County Market Value
$320,700
Median New Jersey Market Value
$288,200
Median United States Market Value
$274,101
Property Tax Assessment Values Across Ocean City, Cape May County, New Jersey
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 08226 | $235,400 | $364,200 | $561,700 | $888,500 | $1,502,300 |
Source: Ownwell
Property Tax Bills Across Ocean City, Cape May County, New Jersey
Ocean City property tax bills are based on the assessed value of a home, not its market price alone. Local tax authorities determine the bill by applying the tax rate to the assessed value, which means a higher assessment can lead to a larger bill even if the home has not changed hands. Factors such as location, property characteristics, and local budget needs all influence the final amount homeowners owe.
With a median home price of $561,700, property taxes in Ocean City can be substantial. The median tax bill in ZIP code 08226 is $5,922, while bills can range from $3,960 at the 25th percentile to $9,169 at the 75th percentile and reach $14,912 at the 90th percentile. For homeowners, this means property taxes can have a major impact on annual housing costs and overall affordability.
Median Ocean City Tax Bill
$5,922
Median Cape May County Tax Bill
$5,073
Median New Jersey Tax Bill
$8,638
Median United States Tax Bill
$3,209
Property Tax Bills Across Ocean City, Cape May County, New Jersey
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 08226 | $2,726 | $3,960 | $5,922 | $9,169 | $14,912 |
Source: Ownwell
Don't miss the deadline to appeal!
Dates | |
|---|---|
| Appeal Deadline | April 1 |
Links | |
|---|---|
| Cape May Tax Assessor | |
| Website | press.capemaycountynj.gov |