Property taxes in Glen Ridge and Millburn (Bloomfield, Montclair: sales, power lines)

[amherstms]

Looking at these two towns, we noted that the property tax in Glen Ridge is significantly higher. I believe it is 3.6% in Glen Ridge and 1.9% in Millburn. What accounts for this large difference even though they are in the same county?

Having said that, the homes in Glen Ridge appear to be cheaper per sq ft on the sales price (I’m guessing to accommodate for the taxes). Is this an accurate read of the situation? Given these as factors which town in your opinion is the more financially practical one to live in if one were to plan to stay for about 12 years.

[MrsPiggleWiggle]

Answer to your first question: Short Hills Mall.
Answer to your second... depends on what you are looking for and your financial situation. The two towns feel pretty different to me.

[JaRuss01]

1. More of a commercial tax base in Short Hills
2. Houses are less PSF in GR due to higher effective taxes
3. Asking prices in GR are mostly teaser asking prices to create bidding wars. But even after accounting for bidding wars, GR is still less
4. Timing of reassessments. Millburn just had one, GR literally just finished up. Taxes in GR have been lowered from 3.7% to 3.05% (pending budget approval). And the assessment to market value went from like 84% to 91%. The tax bills on average will remain the same. And the effective tax will remain the same. But less sticker shock on advertised tax rate. They were just overdue for a reassessment.

Of the nice towns with excellent schools and direct trains, Millburn/Short Hills is on the lower and of the range in regards to taxes, and GR is on the opposite side of that range. There is a noticeable gap in Home prices due to taxes. Again, in GR many houses go sealed bid, so be prepared to see lots of houses and be ready to act quickly. Budget on sold prices not asking prices. Many asking prices are teasers. Move in ready houses sell 50-150k over the asking price. We were shopping in your exact price range, close to, or at 1mm. So we bid on listings with asking prices between 750-900. We lost on two houses that went 160 over, and 185 over, and won on a house at 100 over that needed a little bit of work compared to the other two. Only GR and Montclair use these price low sell high tactics.

[JaRuss01]

As for which is better from a pure numbers standpoint, for 12 years it’s probably slightly in favor of GR. But once you start getting to a 15-20 plus year hold the taxes in GR will start working against you. Given the high taxes GR is basically a long term rental. It doesn’t make sense financially to retire into GR or pay property taxes for 30 plus years. At least that’s the analysis we ran.

But the two towns are very different. GR is loaded with charm and is very active with sidewalks and a tight knit community. Historical houses and gas lamps. Proximity to Montclair is a huge plus with a liberal vibe and lots of restaurants.

Short Hills is more of a cookie cutter wealthy/somewhat snooty town than someone in middle America would imagine it would be.

We like GR quite a bit and can’t really see ourselves anywhere else but Montclair (which has similar housing stock)


...and from a logistical standpoint, it is much harder to actually buy a house in GR given lack of inventory and many bidders coming from NYC/Brooklyn. Be prepared to travel from Philly (I think you said in another post) into GR every other Sunday for months to see / bid on houses. It is sealed bid, so you put in your best offer, and don’t get a second chance to come up on your bid

[Annikan]

I know nothing about Glen Ridge--but it's talked about so much on this forum, I was browsing on Zillow and checking satellite and street view on Google Maps--It seems like Glen Ridge and Bloomfield have such odd boundaries. Like the Bloomfield library is right near the Glen Ridge Starbucks. And the Bloomfield HS is really close to the Glen Ridge station? But people mentally treat these towns as super different? Like it isn't a Maplewood/South Orange situation. It's different school districts, different police stations/fire stations? Different everything?

[JaRuss01]

There is a pretty distinct border between bloomfield when you cross over. Exposed power lines, no gas lamps, totally different housing stock. The northern end of GR is more desirable and blurs into mid/upper montclair to the west, and is insulated from Bloomfield with a big hill and less cross streets into bloomfield. Southern GR blends into orange and bloomfield and is less desirable.

Bloomfield is still a nice town especially in the surrounding areas of brookdale Park.

[Annikan]

Hmm....interesting. I may have to go do a drive-through one day. My husband loves Brookdale Park, so maybe we'll drive through GR and then let the kids run around Brookdale Park for a while.

[JaRuss01]

If you’re looking in Maplewood, I’d recommend giving GR a look. Take a lap around the north circuit (two main parallel streets, Ridgewood and Forest, from sunset Ave on the north down to bloomfield Ave). That’s basically most of the northern end housing stock between those two avenues with some houses on cross streets along the way. There is also a beautiful enclave in the south west quadrant by Douglas Rd

[jaymoney]

Millburn has commercial properties, which generate sales tax which can help keep home taxes lower. Same with Maplewood, Bloomfield, and Montclair, who can share the burden.

Glen Ridge, with one or two exceptions, is entirely residential. Any town services have to be paid entirely by residents. We loved GR and have a lot of friends there and could have afforded a house we just couldn't afford to actually live in it and pay the taxes.

[JaRuss01]

montclair is right on top when you look at effective taxes...,And bloomfield has significantly higher effective taxes. Same with SO although homes in those two towns are substantially less

GR effective - 2.99
Montclair - 2.96
Bloomfield - 3.49
South orange - 3.04

Millburn - 1.79