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Florida vs North Dakota:
Mortgage & Housing Costs

Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Florida and North Dakota. Updated for 2026.

MetricFloridaNorth Dakota
Median Home Price$395K$255K
Property Tax Rate0.86%0.98%
Avg Closing Costs$7K$3K
Closing Cost %1.8%1.1%
Transfer Tax0.7%None
Homeowners Insurance$4,200/yr$2,100/yr
First-Time Buyer Program
Florida Hometown Heroes
Up to 5% as 0% deferred loan
NDHFA FirstHome
DCA up to $14,000
Verdict

North Dakota wins 5 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $255K and lower overall costs, North Dakota offers meaningful savings compared to Florida. Both states offer first-time buyer programs — explore the state pages for full details.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.

Florida
Home Price$395,000
Down Payment (10%)$39,500
Loan Amount$355,500
Monthly P&I$2,247
Monthly Property Tax$283
Monthly Insurance$350
Monthly PMI$148
Total PITI$3,028/mo
Annual property tax: $3,397
North Dakota
Home Price$255,000
Down Payment (10%)$25,500
Loan Amount$229,500
Monthly P&I$1,451
Monthly Property Tax$208
Monthly Insurance$175
Monthly PMI$96
Total PITI$1,929/mo
Annual property tax: $2,499

Buying in North Dakota saves you approximately $1,099/month ($13,188/year) compared to Florida, based on median home prices with identical loan terms.

Which State Is Right for You?

North Dakota offers meaningfully lower home prices than Florida, with median prices running 35% less ($140K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Florida may find North Dakota far more accessible, particularly when combined with local down payment assistance programs.

Property tax rates are similar in both states (Florida: 0.86%, North Dakota: 0.98%), so taxes shouldn't be the deciding factor in your relocation decision. Instead, focus on differences in home prices, insurance costs, and state-specific programs. Both states collect roughly comparable property tax revenue relative to home values.

Homeowners insurance is significantly cheaper in North Dakota ($2,100/year) compared to Florida ($4,200/year). That's an extra $2,100 per year — or $175/month — eating into your budget in Florida. Florida's high insurance costs are often driven by severe weather risks (hurricanes, tornadoes, or wildfires), which also affect availability of coverage.

Closing costs are a one-time but significant expense. Florida averages $7K in closing costs (1.8% of purchase price) while North Dakota averages $3K (1.1%). Much of Florida's higher costs come from its 0.7% transfer tax, which adds $3K to the median home purchase. Budget for these upfront costs — they affect how much cash you need on hand at closing.

Both states offer down payment assistance for first-time buyers. Florida's Florida Hometown Heroes provides Up to 5% as 0% deferred loan, while North Dakota's NDHFA FirstHome offers DCA up to $14,000. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.

Key Takeaway

The bottom line: North Dakota homes cost $140K less than Florida on average. That translates to roughly $1,099 less per month in total housing costs if you choose North Dakota. For most buyers, this price gap is the single biggest factor — it affects your loan size, monthly payment, and how quickly you build equity.

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