Average monthly mortgage payment
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A monthly mortgage payment actually consists of several things. It includes the mortgage principal and interest on the loan, as well as escrow items such as homeowners insurance and property taxes, and any HOA fees.
- For new applicants in October 2022, the median mortgage payment was $2,012, according to the Mortgage Bankers Association (MBA).
- For conventional loan applicants, the median monthly mortgage payment in October 2022 was $2,047, according to the MBA data.
- For FHA loan applicants, the median monthly mortgage payment in October 2022 was $1,666, according to the MBA data.
- The average monthly mortgage payment was $1,427 in 2021, according to the U.S. Census Bureau’s American Housing Survey.
- The median monthly mortgage payment was $1,001, according to the 2021 Census housing data.
- California has the highest median monthly mortgage payment, at $2,523 according to 2021 data from the U.S. Census Bureau’s American Community Survey.
- West Virginia has the lowest median monthly payment, at $1,071, according to the 2021 Census community data.
- The San Francisco metropolitan area has the highest average mortgage payment among the top 15 metro areas, at $2,699, according to the 2021 Census housing data.
- The Detroit metropolitan area has the lowest average mortgage payment among the top 15 metro areas, at $1,177, according to the 2021 Census housing data.
- The average monthly housing cost is $1,427, according to the 2021 Census housing data.
- The median monthly housing cost is $1,101, according to the 2021 Census housing data.
Median vs. average mortgage payment calculations
You might be wondering why there can be a stark difference between average and median monthly mortgage payments. These two figures are calculated in different ways. The average (also known as the mean) is the sum of a set of numbers divided by the amount of numbers in the set, while the median is the midpoint in the set. Since an average can easily be skewed by an unusually high or low number, the median tends to provide a more accurate picture of the housing market for a given region.
Monthly mortgage payments by loan size
Based on October 2022 median regional existing-home prices reported by the National Association of Realtors, borrowers with 20 percent down and a 30-year mortgage with 6.9 percent fixed rate can expect to pay the following in principal and interest each month.
|Home price||Loan size||Monthly mortgage payment|
|Source: National Association of Realtors|
Average monthly mortgage payment by region
|Region||Average monthly mortgage payment|
|Source: U.S. Census Bureau American Housing Survey, 2021|
|New England (Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, Vermont)||$1,640|
|Middle Atlantic (New Jersey, New York, Pennsylvania)||$1,453|
|East North Central (Illinois, Indiana, Michigan, Ohio, Wisconsin)||$1,240|
|West North Central (Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota)||$1,140|
|South Atlantic (Delaware, District of Columbia, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, West Virginia)||$1,397|
|East South Central (Alabama, Kentucky, Mississippi, Tennessee)||$1,212|
|West South Central (Arkansas, Louisiana, Oklahoma, Texas)||$1,219|
|Mountain (Arizona, Colorado, Idaho, Montana, Nevada, New Mexico, Utah, Wyoming)||$1,468|
|Pacific (Alaska, California, Hawaii, Oregon, Washington)||$1,939|
Home prices and monthly mortgage payments over time
Home prices have increased significantly in recent years — ever since the onset of the pandemic, in 2020. In 2022, mortgage rates began to rise rapidly, reaching levels not seen in two decades.
|Year||Median monthly mortgage payment||Median home sale price*|
*New-home sales only
Sources: U.S. Census Bureau and U.S. Department of Housing and Urban Development
What’s included in a mortgage payment
The typical mortgage payment is comprised of the loan principal, loan interest, taxes and insurance, also known as PITI.
- Principal: How much you borrow for your mortgage, which is the difference between your down payment (if any) and the home’s final purchase price
- Interest: How much you pay to borrow the mortgage
- Taxes: The property taxes paid to your local jurisdiction, determined by the assessed value of your home
- Insurance: The homeowners insurance paid to protect the home, as well as any private mortgage insurance (PMI)
Bankrate’s mortgage payment and PITI calculator can help you estimate your monthly mortgage payment.
Bottom line on average monthly mortgage payments
The monthly cost of a mortgage goes well beyond repayment of the principal. The interest on the loan, property taxes, homeowners insurance and mortgage insurance are also included, and can vary depending on where you live. It’s important to take these factors into account when determining how much house you can afford.
With additional reporting by Meaghan Hunt