Costs to buy a house in Maryland | Maryland closing costs | Maryland house buying calculator | Homeownership costs | How to save when buying a home in Maryland
The average home buyer in Maryland spends between $34,303 and $114,897 when purchasing a $405,957 home — the state median value.
Keep in mind, this is just the cost of buying a home. After you close, you'll still need to budget for all the ongoing costs of homeownership.
Luckily, Clever Real Estate can help make buying a home more affordable. Working with a Clever agent means you'll not only get great service from start to finish, but you could also be eligible for up to 0.5% cash back after closing. That's about $2,030 back on an average-priced home in Maryland!
Average cost to buy a house in Maryland
Expense | Amount |
|---|---|
$4,060 to $12,179 | |
$14,208 to $81,191 | |
$3,704 to $5,556 | |
$10,633 | |
$232 | |
$216 | |
$1,250 to $4,890 | |
Total | $34,303 to $114,897 |
Buyer closing costs in Maryland
While the other costs to buy a house in Maryland are pretty transparent, Maryland closing costs are a bit more nuanced. They're actually a series of smaller costs lumped together into one total. Here's a breakdown of all of the Maryland closing costs you'll likely pay when buying a home.
Closing cost | Amount |
|---|---|
Closing fee | $406 |
Recording fee | $98 |
Title service fees | $1,290 |
Origination fee | $2,030 |
Underwriting fee | $600 |
Discount points | $3,248 per point |
Lender's title insurance | $494 |
Owner's title insurance | $1,453 |
Prorated property tax | Varies |
Transfer tax | 0.25% |
Total | $10,633 |
Keep in mind, closing costs are often negotiable. However, to win the negotiation battle, you'll need a great agent who can work out a deal with the seller. Clever can match you with a top agent in your area that can get the seller to shoulder more of the above costs.
Contact us at Clever for top agent recommendations.
Cost to buy a house in Maryland calculator
Ongoing costs of homeownership in Maryland
Unfortunately, the cost to buy a house is just the beginning. After closing, you'll officially own the home and begin paying for the ongoing costs of homeownership.
Expense | Average monthly cost |
|---|---|
Mortgage (principle and interest) | $1,852 |
Homeowners insurance | $116 |
Taxes | Varies but averages $365 statewide |
Maintenance | $337 |
Utilities | $410 |
Total | $3,080 |
Note: All numbers are estimates based on state averages and a median home value of $405,957 and a down payment of 20%. | |
Besides the expenses outlined above, you'll also want to consider private mortgage insurance (PMI) and homeowner's association (HOA) fees.
- If you pay less than 20% as a down payment on your house, you'll probably have to pay PMI monthly until you get to 20% equity. For the average Maryland homeowner, this is between $177 to $598 a month.
- Some neighborhoods have HOA fees for the care and maintenance of common areas. The national average is around $250 per month.
» MORE: The true cost of homeownership
Top ways to save money when buying a house in Maryland
1. Look into better financing options
Paying off debts and getting your credit in the best shape possible before applying for a loan will help you get a better interest rate, which will lower your monthly payments for the life of the loan.
You can also shop around to compare lenders so you get the lowest fees and interest rates available. It may be a good idea to enlist the help of a mortgage broker if you're not sure how to go about vetting lenders.
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Get matched with a lender who can tell you how much house you can afford. To get started, where do you plan on buying?
2. Participate in home buyer programs Maryland
The Maryland HUD page lists several local home buyer programs throughout the state. These programs typically come in the form of down payment assistance or favorable lending terms depending on your income and where you’re buying.
You may also be eligible for a state-wide program, such as the Maryland Department of Housing and Community Development’s Maryland Mortgage Program (MMP). They offer several options for assistance depending on your situation, including specialty loans for those who need help modifying a home for accessibility. There is also the USDA Rural Housing Program, which makes affordable housing available to those buying in select rural areas.
» MORE: First-time home buyer programs everyone should know about
3. Partner with an expert agent
Some real estate companies, like Clever, offer home buyers a percentage of their home's price back after the sale finalizes.
That means if you work with a Clever agent, you'll not only get the expertise that helps you get the best deal possible — you could also get up to 0.5% of your home price back after closing!