Mortgage Calculator Maryland 2026: Payment, PMI & Transfer Tax
This mortgage calculator for Maryland estimates your full monthly payment — principal & interest, property tax, homeowners insurance and PMI — plus the 0.5% state transfer tax. Enter your own rate; everything is calculated privately in your browser.
A mortgage calculator for Maryland estimates the full monthly cost of a Maryland home loan: principal and interest from standard amortization, plus property tax, homeowners insurance and private mortgage insurance (PMI) when you put down less than 20%. It also shows Maryland’s 0.5% state transfer tax, customarily split, or 0.25% paid by the seller for first-time buyers.
How the Mortgage Calculator Maryland Formula Works (Worked Example)
Principal and interest use the standard amortization formula M = P × r(1+r)n ÷ ((1+r)n − 1), where P is the loan amount, r the monthly rate (annual rate ÷ 12) and n the number of payments. Property tax is the home price × your local rate ÷ 12, insurance is your annual premium ÷ 12, and PMI is the loan amount × your PMI rate ÷ 12. Example: a $300,000 Maryland home, 10% down, 30-year fixed at a user-entered 6.5% (click Load Example above to reproduce it).
| Item | Inputs | Monthly |
|---|---|---|
| Principal & interest | $270,000 loan, 6.5%, 360 payments | $1,706.58 |
| Property tax | 0.92% of $300,000 ($2,760/yr) | $230.00 |
| Homeowners insurance | $1,500/yr (example — use your quote) | $125.00 |
| PMI | 0.6% of $270,000 ($1,620/yr) | $135.00 |
| Total monthly payment | $2,196.58 | |
| State transfer tax, buyer’s half (one-time) | $300,000 × 0.5% ÷ 2 | $750.00 |
Over 30 years this loan pays about $344,370 in interest. Your rate is an input, not an assumption — check the current weekly national average in Freddie Mac’s Primary Mortgage Market Survey and compare lender Loan Estimates.
Maryland Property Tax Rate and Your Monthly Payment
Maryland property tax combines a small state rate with county and, in some places, city rates, and homes are reassessed on a three-year cycle. For a principal residence, the Homestead Property Tax Credit limits how much the taxable assessment can rise each year — 10% for the state portion, and many counties set a lower cap. The Tax Foundation puts Maryland’s effective property tax rate at about 0.92% of owner-occupied home value. A new buyer’s bill can be higher than the seller’s if the seller had a capped assessment, so use the full rate for your county and town.
| Local rate | Annual tax on $300,000 | Added to monthly payment |
|---|---|---|
| 0.69% | $2,070 | $172.50 |
| 0.92% (Tax Foundation statewide effective rate) | $2,760 | $230.00 |
| 1.38% | $4,140 | $345.00 |
Maryland Closing Costs: Transfer Tax and Recording Fees
Maryland transfer costs have three layers. The state transfer tax is 0.5% of the price statewide (Md. Code, Tax-Property § 13-203); for a first-time Maryland homebuyer buying a principal residence it drops to 0.25% and the seller pays all of it. On top of that, most counties charge a county transfer tax (roughly 0.5%–1.5%; Baltimore City charges 1.5%) and a recordation tax set per $500 of price, and buyer and seller customarily split the total. Counties may give first-time or owner-occupant buyers full or partial exemptions (verified via search). The calculator shows only the state 0.5%; ask your settlement company for your county’s rates.
| Maryland item | Amount | Usually paid by |
|---|---|---|
| State transfer tax (0.5%) | $1,500 on $300,000 | Customarily split — $750 each |
| State transfer tax, first-time Maryland buyer (0.25%) | $750 on $300,000 | Seller |
| County transfer tax | Set by county — about 0.5% to 1.5% (Baltimore City 1.5%) | Customarily split |
| Recordation tax | Set by county per $500 of price | Customarily split |
| Escrow deposits for tax and insurance | Set by your lender — see your Loan Estimate | Buyer |
| Lender, appraisal, title and recording charges | Vary by lender, title company and county — compare Loan Estimates | Negotiable |
Some costs are negotiable, and sellers sometimes cover part of a buyer’s closing costs as a concession.
How Maryland Mortgage Rates Affect Your Payment
Rates in Maryland follow national mortgage markets and vary by lender, credit score, down payment and loan type. On a $440,000 home with 20% down, an example 6.8% rate produces a monthly principal and interest payment of approximately $2,295. A 0.25% rate increase adds roughly $59 to that payment, so shopping multiple lenders can save thousands over the life of the loan.
Adjustable-rate mortgages (ARMs) often start lower but carry rate-reset risk, which is why many buyers choose 30-year fixed loans for payment predictability. FHA loans (3.5% down) and VA loans (0% down for eligible veterans) are also options in Maryland.
First-Time Buyer Programs in Maryland
The Maryland Mortgage Program (MMP), run by the state Department of Housing and Community Development, offers first-time buyer loans with down payment assistance options. Check the agency’s website for current income limits, purchase price limits and rates.
FHA loans are available nationwide and require only 3.5% down with a 580+ credit score — useful for first-time buyers in Maryland who have limited savings. USDA loans offer 0% down for eligible rural properties in Maryland. VA loans are available to qualified veterans and active-duty service members with no down payment required and no PMI.
If your down payment is below 20%, Private Mortgage Insurance (PMI) on a $396,000 loan (10% down on $440,000) adds approximately $198/month at a 0.6% annual rate. The Urban Institute puts typical PMI at roughly 0.46%–1.5% of the loan per year depending on credit score. PMI can be removed once your loan-to-value ratio reaches 80%, so extra payments accelerate the timeline to dropping PMI.
Last updated: October 2026. Estimates only — confirm figures with your lender and local tax office.
Frequently Asked Questions
What is the average mortgage rate in Maryland in 2026?
Maryland mortgage rates track national averages and change weekly. Check the Freddie Mac Primary Mortgage Market Survey for the current 30-year fixed average, then compare quotes from several lenders - your rate depends on credit score, down payment and loan type.
What is the average monthly mortgage payment in Maryland?
For a $440,000 home with 20% down in Maryland, the estimated PITI (principal, interest, taxes, and insurance) is approximately $2,757/month at an example 6.8% rate, assuming a 0.92% property tax rate and $1,500 a year for insurance.
Do I need PMI in Maryland?
Yes — if your down payment is less than 20%, lenders in Maryland require Private Mortgage Insurance (PMI) on conventional loans. The Urban Institute puts typical PMI at about 0.46%–1.5% of the loan amount per year, depending on credit score. PMI is removed once you reach 20% equity.
What is the property tax rate in Maryland?
The Tax Foundation puts Maryland’s effective property tax rate at about 0.92% of owner-occupied home value - roughly $2,760 a year on a $300,000 home. Rates vary by county, city and school district, so use the rate on your own tax bill.
How much is the transfer tax in Maryland?
Maryland’s state transfer tax is 0.5% of the price - $1,500 on a $300,000 home - and buyer and seller customarily split it. For a first-time Maryland homebuyer buying a principal residence the state rate drops to 0.25% and the seller pays it. Counties add their own transfer and recordation taxes, which vary by county.
What is the monthly payment on a $300,000 house in Maryland?
With 10% down and a 30-year fixed loan at 6.5%, principal and interest is about $1,707 a month. Adding 0.92% property tax ($230), $1,500 a year insurance ($125) and 0.6% PMI ($135) brings the total to about $2,197 a month.