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Maryland vs Washington:
Mortgage & Housing Costs

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

MetricMarylandWashington
Median Home Price$420K$580K
Property Tax Rate1.09%0.98%
Avg Closing Costs$11K$8K
Closing Cost %2.5%1.4%
Transfer Tax1.5%1.78%
Homeowners Insurance$1,700/yr$1,600/yr
First-Time Buyer Program
MD Mortgage Program
Up to $25,000 DPA
WSHFC Home Advantage
Up to $10,000 DPA
Verdict

Washington wins 4 of 6 cost categories, making it the more affordable state for homebuyers overall. However, Maryland has a lower total cost when combining home price, closing costs, and insurance. 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
Washington
Home Price$580,000
Down Payment (10%)$58,000
Loan Amount$522,000
Monthly P&I$3,299
Monthly Property Tax$474
Monthly Insurance$133
Monthly PMI$218
Total PITI$4,124/mo
Annual property tax: $5,684

Buying in Maryland saves you approximately $1,054/month ($12,648/year) compared to Washington, based on median home prices with identical loan terms.

Which State Is Right for You?

Maryland offers meaningfully lower home prices than Washington, with median prices running 28% less ($160K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Washington 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%, Washington: 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.

Both states offer down payment assistance for first-time buyers. Maryland's MD Mortgage Program provides Up to $25,000 DPA, while Washington's WSHFC Home Advantage offers Up to $10,000 DPA. 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 Washington are broadly similar in housing costs, with only $1,054/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.

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