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Maryland vs Massachusetts:
Mortgage & Housing Costs

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

MetricMarylandMassachusetts
Median Home Price$420K$595K
Property Tax Rate1.09%1.2%
Avg Closing Costs$11K$10K
Closing Cost %2.5%1.6%
Transfer Tax1.5%0.456%
Homeowners Insurance$1,700/yr$2,200/yr
First-Time Buyer Program
MD Mortgage Program
Up to $25,000 DPA
MassHousing DPA
Up to $50,000 DPA loan
Verdict

Maryland and Massachusetts are evenly matched across major housing cost categories. Your decision may come down to other factors like job market, climate, or lifestyle preferences. Use the calculators below to model your specific scenario.

Monthly Payment Comparison

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

Maryland
Home Price$420,000
Down Payment (10%)$42,000
Loan Amount$378,000
Monthly P&I$2,389
Monthly Property Tax$382
Monthly Insurance$142
Monthly PMI$158
Total PITI$3,070/mo
Annual property tax: $4,578
Massachusetts
Home Price$595,000
Down Payment (10%)$59,500
Loan Amount$535,500
Monthly P&I$3,385
Monthly Property Tax$595
Monthly Insurance$183
Monthly PMI$223
Total PITI$4,386/mo
Annual property tax: $7,140

The monthly payment difference is $1,316/month — thats $15,792/year or $474K over the life of a 30-year loan. Buying in Maryland is the more affordable option based on median home prices with identical loan terms.

Income Needed to Buy

Based on the 28% debt-to-income rule — your monthly housing payment should not exceed 28% of gross monthly income.

Maryland
$132K/yr
minimum household income
Massachusetts
$188K/yr
minimum household income

To afford the median home in Massachusetts, you need a household income of approximately $188K/year. In Maryland, you need $132K/year — less by $56K/year. That $56K income gap means Maryland is accessible to a significantly wider range of households.

Which State Is Right for You?

Maryland offers meaningfully lower home prices than Massachusetts, with median prices running 29% less ($175K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Massachusetts may find Maryland far more accessible, particularly when combined with local down payment assistance programs.

Property tax rates are similar in both states (Maryland: 1.09%, Massachusetts: 1.2%), 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.

Both states offer down payment assistance for first-time buyers. Maryland's MD Mortgage Program provides Up to $25,000 DPA, while Massachusetts's MassHousing DPA offers Up to $50,000 DPA loan. 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: Maryland and Massachusetts are broadly similar in housing costs, with only $1,316/month separating them in total PITI payments. In cases like this, your decision should be driven by lifestyle preferences — job opportunities, climate, proximity to family, and quality of life — rather than pure cost savings. Either state offers a reasonable path to homeownership.

Compare Other States

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Frequently Asked Questions

Is it cheaper to buy a home in Maryland or Massachusetts?
Maryland is cheaper overall. The median home costs $420K compared to $595K in Massachusetts, and the total monthly PITI payment is $3,070 versus $4,386. That works out to $1,316 less per month or $15,792 less per year in Maryland.
How much more are property taxes in Massachusetts vs Maryland?
Massachusetts has a property tax rate of 1.2% compared to 1.09% in Maryland. On the median home, that means Massachusetts homeowners pay approximately $7,140/year in property taxes versus $4,578/year in Maryland — a difference of $2,562/year.
Which state has better first-time buyer programs, Maryland or Massachusetts?
Maryland offers the MD Mortgage Program (Up to $25,000 DPA), while Massachusetts has the MassHousing DPA (Up to $50,000 DPA loan). Both programs aim to reduce upfront costs for first-time buyers. Eligibility depends on income limits, purchase price caps, and other criteria set by each state's housing finance agency.

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