As the cost of living rises, more families and individuals are turning to Delaware, drawn by its unique combination of small-town charm, coastal beauty and financial advantages.
Delaware offers a rare blend of affordability and quality of life, making it an attractive option for those looking to stretch their budgets. Its tax benefits are particularly appealing, catching the attention of homebuyers who want to maximize their savings.
At Schaeffer Homes, we understand that where you live matters. That’s why we are now building homes in Delaware through our Build On Your Lot Program. Whether you already own a piece of land or need assistance finding the perfect spot, Schaeffer Homes is here to help you create the home of your dreams in Delaware.
Let’s explore how Delaware’s tax advantages make it an even smarter choice for settling down in this hidden gem.
One of the biggest perks of living in Delaware is the absence of state sales tax.
Imagine making major purchases — anything from a new car to a home entertainment system — without adding the extra 6-8% that many people in neighboring states have to pay. This means substantial savings over time and a more enjoyable shopping experience, especially at checkout.
Residents of states like New Jersey or Pennsylvania frequently cross state lines for their shopping sprees. Who can blame them? With no sales tax, everything from groceries to electronics costs less in Delaware.
Over time, these savings add up, especially for larger purchases like furniture or appliances. Whether you’re setting up a new home or grabbing the essentials, Delaware’s tax-free shopping offers a financial benefit that’s hard to overlook.
Delaware is also a haven for retirees. The state’s tax-friendly stance on Social Security benefits, combined with no state tax on this income, allows retirees to keep more of their money. This is especially helpful for those relying on Social Security for daily expenses.
It doesn’t stop there. Delaware also provides pension exclusions and has no estate or inheritance tax, making it easier for retirees to plan for the future and pass on more to their families. This combination of benefits makes Delaware an increasingly popular destination for retirees, offering financial peace of mind along with small-town charm and coastal living.
Another significant financial highlight is Delaware’s low property taxes.
Compared to states like New Jersey or Pennsylvania, Delaware’s property tax rates are remarkably lower, translating to significant savings for homeowners. Whether you’re considering custom homeownership in Kent County or New Castle County, lower property taxes mean you can afford “more home” for your money with less of your budget going to taxes.
For example, Delaware homeowners pay around 0.56% of their home’s assessed value in property taxes, while it’s closer to 2.21% in New Jersey. This difference adds up quickly. At Schaeffer Homes, we make it a priority to help our clients take advantage of these low taxes, ensuring your custom home offers long-term financial benefits along with the perfect living space.
Delaware’s business-friendly atmosphere isn’t just good for companies — it’s great for residents, too. With favorable corporate tax laws, Delaware is home to many of the country’s largest corporations, contributing to a stable and growing economy.
For residents, this means access to jobs and economic stability that isn’t always present in other states. Additionally, personal income taxes in Delaware are relatively low, allowing families to grow their wealth more easily. Whether you’re working remotely, running a small business or simply enjoying the perks of lower taxes, Delaware’s tax policies create an environment where individuals and families can thrive.
Delaware’s combination of tax benefits—no sales tax, no Social Security tax, low property taxes and favorable income and corporate tax policies—makes it an ideal place to call home.
At Schaeffer Homes, we’re here to help you make the most of these advantages by building a home that fits both your lifestyle and financial goals. Whether you own your lot or need help finding one, when you build with Schaeffer Homes in Delaware, you’re not just getting a beautiful custom home — you’re getting the best value in a location designed to enhance your financial well-being.
