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Massachusetts vs Pennsylvania:
Mortgage & Housing Costs

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

MetricMassachusettsPennsylvania
Median Home Price$595K$280K
Property Tax Rate1.2%1.36%
Avg Closing Costs$10K$5K
Closing Cost %1.6%1.7%
Transfer Tax0.456%2%
Homeowners Insurance$2,200/yr$1,400/yr
First-Time Buyer Program
MassHousing DPA
Up to $50,000 DPA loan
PHFA Keystone Advantage
Up to $6,000 DPA
Verdict

Massachusetts and Pennsylvania 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.

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
Pennsylvania
Home Price$280,000
Down Payment (10%)$28,000
Loan Amount$252,000
Monthly P&I$1,593
Monthly Property Tax$317
Monthly Insurance$117
Monthly PMI$105
Total PITI$2,132/mo
Annual property tax: $3,808

The monthly payment difference is $2,254/month — thats $27,048/year or $811K over the life of a 30-year loan. Buying in Pennsylvania 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.

Massachusetts
$188K/yr
minimum household income
Pennsylvania
$91K/yr
minimum household income

To afford the median home in Massachusetts, you need a household income of approximately $188K/year. In Pennsylvania, you need $91K/year — less by $97K/year. That $97K income gap means Pennsylvania is accessible to a significantly wider range of households.

Which State Is Right for You?

There's a dramatic price gap between these two states. Homes in Pennsylvania cost 53% less than in Massachusetts — that's a difference of $315K on the median home. For buyers relocating from Massachusetts to Pennsylvania, this can mean upgrading significantly or pocketing substantial savings. The equity you've built in a Massachusetts home could fund a much larger down payment in Pennsylvania, potentially eliminating PMI and reducing your monthly payment dramatically.

Property tax rates are similar in both states (Massachusetts: 1.2%, Pennsylvania: 1.36%), 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.

Insurance costs favor Pennsylvania at $1,400/year versus $2,200/year in Massachusetts, a difference of $800 annually. While not the largest cost factor, this adds up to over $8K over a decade of homeownership. Shop multiple carriers in either state — actual premiums depend on your specific property, coverage level, and claims history.

Closing costs are a one-time but significant expense. Massachusetts averages $10K in closing costs (1.6% of purchase price) while Pennsylvania averages $5K (1.7%). The difference is spread across title insurance, attorney fees, and recording costs rather than a single large tax. 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. Massachusetts's MassHousing DPA provides Up to $50,000 DPA loan, while Pennsylvania's PHFA Keystone Advantage offers Up to $6,000 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: Pennsylvania homes cost $315K less than Massachusetts on average. That translates to roughly $2,254 less per month in total housing costs if you choose Pennsylvania. For most buyers, this price gap is the single biggest factor — it affects your loan size, monthly payment, and how quickly you build equity.

Compare Other States

Massachusetts vs ColoradoMassachusetts vs ConnecticutMassachusetts vs DelawarePennsylvania vs AlabamaPennsylvania vs AlaskaPennsylvania vs Arkansas

Frequently Asked Questions

Is it cheaper to buy a home in Pennsylvania or Massachusetts?
Pennsylvania is cheaper overall. The median home costs $280K compared to $595K in Massachusetts, and the total monthly PITI payment is $2,132 versus $4,386. That works out to $2,254 less per month or $27,048 less per year in Pennsylvania.
How much more are property taxes in Pennsylvania vs Massachusetts?
Pennsylvania has a property tax rate of 1.36% compared to 1.2% in Massachusetts. On the median home, that means Pennsylvania homeowners pay approximately $3,808/year in property taxes versus $7,140/year in Massachusetts — a difference of $3,332/year.
Which state has better first-time buyer programs, Massachusetts or Pennsylvania?
Massachusetts offers the MassHousing DPA (Up to $50,000 DPA loan), while Pennsylvania has the PHFA Keystone Advantage (Up to $6,000 DPA). 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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