New Jersey Car Loan & Lease Guide 2026
Everything you need to know about buying or leasing a car in New Jersey (NJ) — sales tax, loan rates, incentives, and free calculators.
New Jersey Car Sales Tax (2026)
New Jersey state sales tax is 6.625% flat on vehicle purchases. No local sales tax applies.
Official New Jersey DMV: www.nj.gov/mvc/
New Jersey Car Buying Incentives & Programs (2026)
New Jersey offers up to $4,000 rebate for new EVs (Charge Up NJ). Federal tax credit up to $7,500 also applies. HOV lane access for eligible EVs.
Quick Car Affordability Calculator — New Jersey
Estimate how much car you can afford in New Jersey, including sales tax (6.625% state rate).
New Jersey Car Buying FAQ
What is the sales tax on a car in New Jersey?
The state sales tax in New Jersey is 6.625%. With local taxes, the total rate ranges from 6.625% to 6.625%. This means buying a $35,000 car in New Jersey could cost $2319–$2319 in sales tax alone.
What is the average car loan rate in New Jersey?
The average auto loan rate in New Jersey is approximately 6.8% (based on the state's average credit score of 715). Rates vary by credit score: 750+ can get 5–7%, 650–749 pays 7–10%, and below 650 may see 10%+.
Are there EV incentives in New Jersey?
New Jersey offers up to $4,000 rebate for new EVs (Charge Up NJ). Federal tax credit up to $7,500 also applies. HOV lane access for eligible EVs.
How much car can I afford in New Jersey?
Use the calculator above to estimate your budget. As a rule of thumb, your total car payment (loan + insurance) should not exceed 15–20% of your monthly take-home pay. In New Jersey, remember to factor in the 6.625% state sales tax when calculating your total budget.