Mortgage for Michigan (2026)

Last updated: March 1, 2026

Michigan (MI) Key Facts

Median Home Price

$240,000

Average Property Tax Rate

1.54%

Average Home Insurance Rate

0.65%

Estimated Monthly Payment

$1,839

First Time Buyer Programs

2

How This Calculator Works in Michigan

This mortgage calculator lets you estimate your monthly payment on a Michigan home by factoring in the purchase price, down payment, interest rate, property taxes, and insurance. It is pre-loaded with Michigan's average property tax rate and insurance costs so you can get a realistic estimate quickly. Adjust the inputs to match your specific situation and see how different scenarios affect your monthly budget.

Michigan Overview

Michigan has a median home price of approximately $230K, with an average property tax rate of 1.54% and homeowners insurance averaging 0.65% annually. Transfer tax of $7.50 per $1K (state) plus county. MSHDA MI Home Loan and other state programs can help first-time buyers with down payment assistance and competitive mortgage rates.

How Michigan Compares

Compared to neighboring states, Michigan's median home price of $240,000 is below the national median of about $420,000. Nearby Ohio has a median price of $220,000 with a 1.56% property tax rate. Property tax rates vary significantly among neighboring states, which can substantially impact long-term homeownership costs.

StateTop RateNotes
Ohio$220,000Median home price is $220,000 with a 1.56% property tax rate. Estimated monthly mortgage payment is about $1,671.
Indiana$240,000Median home price is $240,000 with a 0.85% property tax rate. Estimated monthly mortgage payment is about $1,691.
Wisconsin$270,000Median home price is $270,000 with a 1.85% property tax rate. Estimated monthly mortgage payment is about $2,116.

The median home price in Michigan is $240,000, compared to the national median of approximately $420,000. With a 1.54% average property tax rate and 0.65% insurance rate, Michigan homeowners can expect an estimated monthly payment of about $1,839 on a median-priced home with 10% down at 6.75% interest.

Tips for Michigan Residents

  • 1Michigan has a median home price around $230K. Transfer tax of $7.50 per $1K (state) plus county. Research local market conditions as prices vary significantly by city and neighborhood.
  • 2Property taxes in Michigan average 1.54%. Always verify your specific county's tax rate, as it directly impacts your monthly payment.
  • 3Explore MSHDA MI Home Loan for potential down payment assistance and favorable rates. Michigan also offers MSHDA Down Payment Assistance. Check income limits and eligibility early in your home search.
  • 4Affordable market; property taxes vary significantly by city and county. Budget 2-5% of the purchase price for closing costs including lender fees, title insurance, and prepaid expenses.
  • 5Affordable metros outside Detroit. A 0.25% rate difference on a $240K home can save thousands over the life of your loan, so shop at least 3-4 lenders before committing.

Frequently Asked Questions

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