What is the average monthly mortgage payment?

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If you get a mortgage to buy a home, you’ll need to make a monthly mortgage payment. You might be wondering what the average monthly mortgage payment is.

The average monthly mortgage payment for a homeowner in the United States is $1,275 on a 30-year fixed mortgage. The median monthly mortgage payment is $1,609, according to the most recent data available from the U.S. Census Bureau’s American Housing Survey.

The average monthly mortgage payment is calculated by taking all monthly mortgage payments on a state-by-state basis, adding them up, and dividing by the number of states with data provided to create a national average. Averages are sometimes skewed by extreme outliers, which can make them a less reliable indicator.

The median monthly mortgage payment was calculated by determining the number in the exact middle of all mortgage prices. This provides a more accurate picture of what the typical monthly mortgage payment is because it effectively eliminates outliers on the low or high end of the spectrum.

Monthly housing cost Number of homeowners
Less than $200 27,555
$200 to $399 206,552
$400 to $599 1,112,327
$600 to $799 2,907,157
$800 to $999 4,587,506
$1,000 to $1,499 13,015,189
$1,500 to $1,999 10,146,031
$2,000 to $2,499 6,401,140
$2,500 to $2,999 3,917,090
$3,000 or more 6,283,425
Median $1,609

The median monthly mortgage payment by region

Monthly mortgage payments can vary wildly by region.

Region Median monthly mortgage
Northeast $1,200
South $890
Midwest $840
West $1,243

What’s included in a mortgage payment

While your mortgage is a single payment, it doesn’t include just the balance of your loan. In fact, there are four main factors that go into your payment: the principal, interest, property taxes and homeowners insurance (known as PITI). You can calculate your expected mortgage payment based on this information. Note that if you’re paying private mortgage insurance (PMI), this will be included in the payment as well, and potentially HOA fees if your home is in a homeowners association.

Principal

The principal is probably what you most associate with your mortgage balance. This is the sum that you have borrowed from your lender and will be expected to pay back. Usually, this is whatever you were unable to put down in a down payment. You will pay this back month by month for the full term of your mortgage, typically 15 or 30 years.

Interest

On top of the principal, you will also have to pay back the interest. Most mortgages come with an interest rate. This is the percentage that your lender takes in exchange for making the money available to you to buy your home. Typically, interest rates are fixed and set at the start of the term of your loan. If you do not have a fixed-rate mortgage, the interest rate may vary over the life of your loan, which could mean paying more (or less) over time.

Property taxes

Property taxes are a part of owning a home. A property assessor will determine the value of your home and will use that figure to determine how much you owe. You will then have to pay the property taxes to your municipality and state based on that calculation. Property taxes typically change annually, often increasing, and are an ongoing expense, even after you’ve paid off your mortgage.

Homeowners insurance

Finally, there is homeowners insurance. This is a necessity for any homeowner, as it provides coverage in case anything bad might happen to your home, from accidents to natural disasters and everything in between. Like most insurance, you pay an upfront cost in exchange for coverage that should pay out if a worst-case scenario were to strike. If your home’s value rises, your homeowners insurance premiums can change because you’ll need to pay for more coverage to keep it fully insured.

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Written by
AJ Dellinger
Contributing writer
AJ Dellinger is a contributing writer for Bankrate. AJ writes about auto loans.
Edited by
Senior editorial director
Reviewed by
Jeffrey Beal
President, Real Estate Solutions