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Maryland vs New York:
Mortgage & Housing Costs

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

MetricMarylandNew York
Median Home Price$420K$430K
Property Tax Rate1.09%1.72%
Avg Closing Costs$11K$12K
Closing Cost %2.5%2.8%
Transfer Tax1.5%0.8%
Homeowners Insurance$1,700/yr$2,100/yr
First-Time Buyer Program
MD Mortgage Program
Up to $25,000 DPA
SONYMA Achieving the Dream
Up to $15,000 DPAL
Verdict

Maryland wins 5 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $420K and lower overall costs, Maryland offers meaningful savings compared to New York. 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.

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
New York
Home Price$430,000
Down Payment (10%)$43,000
Loan Amount$387,000
Monthly P&I$2,446
Monthly Property Tax$616
Monthly Insurance$175
Monthly PMI$161
Total PITI$3,399/mo
Annual property tax: $7,396

The monthly payment difference is $329/month — thats $3,948/year or $118K 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
New York
$146K/yr
minimum household income

To afford the median home in New York, you need a household income of approximately $146K/year. In Maryland, you need $132K/year — less by $14K/year. The $14K difference is meaningful but manageable for dual-income households.

Which State Is Right for You?

Home prices in Maryland and New York are relatively close, with only a 2% difference ($10K). At similar price points, your decision should focus on the other cost factors: property taxes, insurance, closing costs, and the overall quality of life each state offers. Small percentage differences in tax rates compound over decades of homeownership.

Maryland has a moderate property tax advantage at 1.09% versus New York's 1.72%. While the rate gap of 0.63% may seem small, it translates to an annual difference of approximately $2,818 when applied to each state's median home price. Over a typical homeownership period of 7-10 years, that adds up to $23K in savings.

Both states offer down payment assistance for first-time buyers. Maryland's MD Mortgage Program provides Up to $25,000 DPA, while New York's SONYMA Achieving the Dream offers Up to $15,000 DPAL. 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 New York are broadly similar in housing costs, with only $329/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 New York?
Maryland is cheaper overall. The median home costs $420K compared to $430K in New York, and the total monthly PITI payment is $3,070 versus $3,399. That works out to $329 less per month or $3,948 less per year in Maryland.
How much more are property taxes in New York vs Maryland?
New York has a property tax rate of 1.72% compared to 1.09% in Maryland. On the median home, that means New York homeowners pay approximately $7,396/year in property taxes versus $4,578/year in Maryland — a difference of $2,818/year.
Which state has better first-time buyer programs, Maryland or New York?
Maryland offers the MD Mortgage Program (Up to $25,000 DPA), while New York has the SONYMA Achieving the Dream (Up to $15,000 DPAL). 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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