Maryland Mortgage Calculator

Mortgage Calculator in Maryland

The median home price in Maryland is $400,000, which is 5% below the national average of $420,000. Maryland's effective property tax rate of 1.05% is 0.05 percentage points lower than the national average of 1.1%.

Metric	Maryland (MD)	National Avg	vs National Average
Median Home Price	$400,000	$420,000	-5%
Property Tax Rate	1.05%	1.1%	-0.05%
Home Insurance (Annual)	$1,800	$2,300	-22%
State Sales Tax	6%	5%	+1.0%
FHA Loan Limit	$766,550	$472,030	Higher
Conforming Loan Limit	$766,550	$766,550	Standard

Homeownership in Maryland

Maryland's housing market is heavily influenced by the federal government employment base, defense contractors, and proximity to Washington DC. The DC suburbs -- Montgomery County, Prince George's County, and parts of the DC-Baltimore corridor -- command premiums well above the $400,000 statewide median. Maryland has a state income tax with rates up to 5.75% plus local piggyback taxes that can add another 2-3%, making the total income tax burden among the highest in the South/Mid-Atlantic region.

Tips for Maryland Homebuyers and Homeowners

• Maryland's local income taxes (set by each county) layer on top of the 5.75% state rate -- in high-rate counties like Montgomery, your combined income tax could hit 8%+.
• The state transfer tax is 0.5% for owner-occupants (compared to 1% for investors), plus county transfer and recordation taxes -- total transfer costs often hit 1.5-2.5% of purchase price.
• Maryland seniors 65+ and disabled homeowners with income below $60,000 may qualify for the Homeowners' Property Tax Credit, which limits taxes to a percentage of income.
• Maryland's inheritance tax applies to non-immediate family members -- siblings, nieces, nephews, and others pay 10% on inherited amounts, unlike many states that have eliminated inheritance taxes.

Maryland Programs and Assistance

• Maryland Mortgage Program (MMP) -- the state's flagship first-time homebuyer loan with competitive rates and multiple down payment assistance options including 'The Maryland SmartBuy' for student loan holders.
• Maryland SmartBuy 3.0 -- helps homebuyers pay off student loans by combining mortgage financing with student debt payoff funding, up to 15% of purchase price.
• HomeCredit Program (MCC) -- Mortgage Credit Certificate providing a federal tax credit equal to 25% of mortgage interest paid annually.

Did you know? Maryland has both an estate tax (on estates over $5 million) and an inheritance tax on non-immediate family beneficiaries -- one of only a handful of states with both taxes, making estate planning critical for Maryland homeowners.