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Maryland's combined state and county recordation/transfer taxes make closing costs noticeably higher than in neighboring states — buyers typically budget 4-5% of price for closing. The calculator below is pre-filled with Maryland's median home price and an estimated property tax bill of roughly $4,305 per year (about 1.05% of $410,000). Adjust the home price, down payment, and rate to match your real-world Maryland scenario — your monthly payment updates instantly.

Loan details

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20.0% down · Loan amount $328,000
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PMI typically isn't required when you put 20% or more down.
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Pay off your loan faster and save on interest.
Estimated monthly payment
$2,603
Principal & interest: $2,127/mo

Payment breakdown

Monthly$2,603
  • Principal & Interest$2,127
  • Property Tax$359
  • Home Insurance$117
Loan amount
$328,000
Total interest
$437,865
Total cost of loan
$765,865
Payoff date
May 2056

Maryland mortgage and housing snapshot

Median home price$410,000
Average effective property tax rate1.05% of home value
Estimated annual property tax on median home$4,305 (~$359/mo escrowed)
Average homeowners insurance premium$1,400 / year
2026 conforming loan limit (most counties)$1,209,750
Transfer / recording taxMaryland charges a state transfer tax of 0.5% (0.25% for first-time buyers) plus a recordation tax that varies by county (typically $5-$12 per $1,000) and additional county transfer taxes in many jurisdictions.
Homestead / property tax capMaryland's Homestead Tax Credit caps annual increases in taxable assessed value at 10% for state taxes (and 0-10% for county/municipal taxes) on a primary residence.

Figures are 2025/2026 approximations from public data (Census, NAR, FHFA, NAIC, Tax Foundation). Use them for planning; confirm exact tax bills, insurance, and conforming limits with your lender, insurer, and county assessor.

Why Maryland's housing math is different

Property tax burden. Maryland's average effective property tax rate of about 1.05% of home value sits near the U.S. national average of roughly 1.0%. Maryland's Homestead Tax Credit caps annual increases in taxable assessed value at 10% for state taxes (and 0-10% for county/municipal taxes) on a primary residence. On the median Maryland home, that translates to roughly $4,305 a year — money that's escrowed into your mortgage payment whether you notice it or not.

Insurance and disaster risk. The typical Maryland homeowners policy runs about $1,400 per year. That's well below the national average, helping Maryland stay one of the friendlier states for total monthly housing cost.

Closing-cost reality. Maryland charges a state transfer tax of 0.5% (0.25% for first-time buyers) plus a recordation tax that varies by county (typically $5-$12 per $1,000) and additional county transfer taxes in many jurisdictions. Add roughly 2-3% of the price for typical lender fees (origination, appraisal, title, escrow), and Maryland buyers should plan for total closing costs in the 3-5% range on top of the down payment.

Loan-limit context. The 2026 conforming loan limit for most counties in Maryland is $1,209,750. Several high-cost Maryland counties qualify for the FHFA's high-cost ceiling, which keeps a lot of buyers below the jumbo threshold even at premium price points.

Common loan types in Maryland

Conventional

The default for most Maryland buyers with 5%+ down and a 620+ credit score. Loans up to $1,209,750 (most counties) avoid jumbo pricing. PMI is required under 20% down and auto-cancels at 22% equity.

FHA

Backed by the Federal Housing Administration. Low 3.5% down with credit scores down to 580. Popular with first-time Maryland buyers, but FHA mortgage insurance (MIP) usually stays for the life of the loan unless you put 10%+ down.

VA

Zero-down loans for eligible active-duty service members, veterans, and qualifying surviving spouses. No PMI and competitive rates. Maryland veterans should compare VA pricing against conventional — the no-PMI advantage often wins below 20% down.

USDA

Zero-down loans for buyers in USDA-designated rural and many suburban areas with moderate incomes. Maryland's urban metros are usually outside USDA-eligible zones, but smaller-town and suburban-fringe properties may still qualify.

Run any of these scenarios in the calculator above by adjusting the down payment and rate. For a side-by-side, see our FHA vs. conventional, VA loan, and USDA loan guides.

Maryland mortgage FAQ

What are typical mortgage rates in Maryland in 2026?

Mortgage rates in Maryland closely track national averages because most home loans are sold to Fannie Mae, Freddie Mac, or government-backed agencies that price loans on a national basis. Your actual rate depends far more on your credit score, down payment, loan term, and discount points than on the state you live in. Use the calculator above with your target rate to see how a small rate move changes your Maryland monthly payment.

How much is property tax on a typical home in Maryland?

Maryland's average effective property tax rate is approximately 1.05% of home value. On a median $410,000 home in Maryland, that works out to roughly $4,305 per year, or about $359 per month escrowed into your mortgage payment. Actual bills vary by county and city.

What is the 2026 conforming loan limit in Maryland?

For most counties in Maryland, the 2026 conforming loan limit for a one-unit home is $1,209,750. Loans above that are 'jumbo' loans and typically have stricter credit and down-payment requirements. Some high-cost counties in Maryland may use a higher limit set by the FHFA — check your specific county before locking a rate.

How much homeowners insurance should I budget for in Maryland?

The average annual homeowners insurance premium in Maryland is roughly $1,400. Coastal, wildfire, hail, and flood-prone areas can be substantially higher. Your lender will require proof of coverage at closing, and the premium is typically escrowed monthly along with property tax.

Do I have to pay PMI on a Maryland mortgage?

PMI rules are federal, not state-specific. Most conventional Maryland mortgages require private mortgage insurance when your down payment is below 20% of the home's price, typically 0.3%-1.5% of the loan amount per year. PMI auto-cancels at 22% equity per the federal Homeowners Protection Act. FHA loans use MIP instead, and VA and USDA loans skip PMI entirely.

What transfer or recording taxes do Maryland buyers and sellers pay?

Maryland charges a state transfer tax of 0.5% (0.25% for first-time buyers) plus a recordation tax that varies by county (typically $5-$12 per $1,000) and additional county transfer taxes in many jurisdictions.

Is there a homestead exemption in Maryland?

Maryland's Homestead Tax Credit caps annual increases in taxable assessed value at 10% for state taxes (and 0-10% for county/municipal taxes) on a primary residence.

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