Income needed to buy a house in Massachusetts
A median-priced home in Massachusetts costs $607,400. With 20% down you'd need about $165,477 a year, $60,649 more than the state's median household income of $104,828. Massachusetts ranks #48 of 51 for the lowest income needed.
Income needed: $165,477 a year
Defaults: state median home value and property tax (Census ACS 2024), median homeowners insurance paid by owners with a mortgage (Census ACS 2024; quotes vary by home and ZIP code), 30-year rate 6.95% (Freddie Mac, week of 2026-09-17).
You'd need a household income of about $165,477 a year to buy a $607,400 home in Massachusetts with $121,480 down.
Based on lenders' 28/36 rule: housing costs under 28% of gross income, all debt under 36%.
| Monthly cost | Amount |
|---|---|
| Principal & interest | $3,217 |
| Property tax | $507 |
| Homeowners insurance | $138 |
| Total | $3,861 |
Monthly cost by down payment
| Down payment | Cash down | Monthly cost | Income needed |
|---|---|---|---|
| 5% | $30,370 | $4,705 | $201,628 |
| 10% | $60,740 | $4,491 | $192,470 |
| 20% | $121,480 | $3,861 | $165,477 |
Under 20% down includes estimated private mortgage insurance of 0.5% of the loan per year.
Buying in Massachusetts: what's different
- Transfer tax
- 0.456% deeds excise
- On the median home
- $2,770
- Homestead break
- Local residential exemption
- First-time buyer help
- MassHousing
- Transfer and recording taxes. The deeds excise is $2.28 per $500 of the price (0.456%), or $1.50 per $500 in Barnstable County (Cape Cod). On the median Massachusetts home ($607,400), that's about $2,770 in deeds excise.
- Property tax breaks for your home. There's no statewide homestead exemption on property tax. Each city or town can adopt a residential exemption, worth up to 35% of the average residential value, that lowers the tax on owner-occupied homes.
- First-time buyer help. MassHousing offers the MassHousing Mortgage through participating lenders. Check its site for income and price limits.
Checked against official sources on September 25, 2026. Local transfer taxes and exemptions vary, so confirm with the county before you close.
Home prices in the Massachusetts metro areas we cover
| Metro area | Income needed | Median home value | Median household income |
|---|---|---|---|
| Boston, MA | $185,178 | $681,100 | $117,825 |
| Worcester, MA | $131,804 | $465,500 | $96,602 |
| Providence, RI (35% in MA) | $130,909 | $471,000 | $82,870 |
With 20% down, the median home takes about $130,909 a year in the Providence area and $185,178 in the Boston area, compared with $165,477 for the statewide median.
Metro medians from Census ACS 2024 cover the whole metro area, including any part in a neighboring state. The metro area centered in Rhode Island is included because many of its residents live in Massachusetts; the share in the state is in parentheses. Rows are ordered by how many residents live in Massachusetts. Income needed: 20% down at 6.95%, the metro's median property tax and its main state's median homeowners insurance for homes with a mortgage (Census ACS 2024), under the 28% rule.
What makes owning in Massachusetts more expensive than most states
- Home prices: the median value of $607,400 is 68% above the U.S. median of $360,600.
- Property tax: about 1.00% of value a year ($507 a month on the median home).
- Insurance: owners with a mortgage paid a median $1,655 a year for homeowners insurance in 2024 (Census ACS). Premiums have risen in most states since then, and they vary a lot by home and ZIP code, so get quotes.
- Mortgage rate: each 1-point rise in rates adds roughly $332 a month on this loan.
43 states need at least 20% less income to buy their median home. States with a similar income requirement:
- Washington $158,207
- New Jersey $150,876
- Colorado $148,554
- Washington, DC $187,026
- Utah $137,189
- California $196,807
Frequently asked questions
How much do you need to make to buy a house in Massachusetts?
About $165,477 a year for the median home of $607,400 with 20% down at 6.95%. With 10% down it's about $192,470.
What is the property tax rate in Massachusetts?
The median Massachusetts homeowner pays $6,080 a year, about 1.00% of the median home value (Census ACS 2024). Rates vary by county and city.
Is it cheaper to rent or buy in Massachusetts?
Median rent is $1,848 a month, while owning the median home costs about $3,861 a month with 20% down, before maintenance. Renting affordably takes about $73,920 a year under the 30% rule.