Mortgage Payment in Mississippi

Market Overview: Mississippi Housing Mid-Range

Mississippi ranks as a mid-range housing market, with a median home price of $263,500. The state's effective property tax rate of 0.58% is far below the national average of 0.90% (about 35% lower than the average state), and annual homeowners insurance averaging $1,907 falls above the US average of $1,492 (about 28% higher than the average state).

These three factors — price level, tax burden, and insurance costs — combine to shape the true monthly cost of homeownership in Mississippi. Below we break down a realistic purchase scenario using state-specific data.

📊 How Mississippi Compares to the Other 50 States

Rank 1 is the cheapest. Every row below uses the same 20% down, 6.5% APR and 30-year term as the rest of this page.

Measure	Mississippi	Rank	Lowest of the 51
Median home price	$263,500	#7 of 51	West Virginia ($225,000)
Effective property tax rate	0.58%	#15 of 51	Hawaii (0.29%)
Average homeowners insurance	$1,907/yr	#45 of 51	Oregon ($893/yr)
Est. monthly payment	$1,619/mo	#6 of 51	West Virginia ($1,326/mo)

The same $1,619/month would cover the median-priced home in 5 other states, including West Virginia ($1,326/month) and Oklahoma ($1,589/month).

Within the South region, Mississippi has the #6 lowest median-price monthly payment of the 17 states there.

📍 Mississippi's Largest County: Hinds County

Everywhere else on this page Mississippi is one set of numbers — one median price, one tax rate, one insurance premium. The U.S. Census Bureau's American Community Survey publishes the same kind of measures for individual counties, so here is Mississippi's most populous county — Hinds County — from the 2020–2024 ACS 5-year estimates release.

Hinds County — 2020–2024 ACS 5-year estimates	Estimate
Population	218,533
Median home value (owner-reported)	$159,900
Median real estate taxes paid (annual)	$1,403
Effective property tax rate (taxes ÷ value)	0.88%
Median household income	$49,402

Two things to keep in mind before you use these numbers. First, the Census asks owners what their home is worth: this is a five-year survey estimate, not the sale price of homes that changed hands, so it is not comparable with the sale-price figures elsewhere on this page. Second, 0.88% is the median tax bill divided by the median home value, which is a different calculation from the statewide effective rate in the comparison table above (that one weighs total taxes collected against total value).

Source: U.S. Census Bureau, American Community Survey 2020–2024 5-year estimates (B01003 population; B25077 median home value; B25103 median real estate taxes paid; B19013 median household income). Retrieved 2026-09-24. Learn how the American Community Survey collects these estimates.

🏡 Purchase Example: Buying a $263,500 Home in Mississippi

Using the state's median home price of $263,500, a 20% down payment, and a 6.5% 30-year fixed rate, here is the complete picture of what it costs to buy in Mississippi:

Cost Component	Amount
Home Price	$263,500
Down Payment (20%)	$52,700
Loan Amount	$210,800
Estimated Closing Costs (3.5%)	$9,223
Total Cash Needed at Closing	$61,923

Monthly Payment (20% Down)

Item	Monthly
Principal & Interest	$1,332
Property Taxes (0.58%)	$127
Homeowners Insurance	$159
PMI (not needed at 20% down)	$0
Total Monthly Payment	$1,619

Annual income needed (28% DTI): $70,000/yr

PMI Scenario: What If You Put Only 10% Down?

With a 10% down payment ($26,350), you'd have a loan of $237,150 and would need to pay Private Mortgage Insurance (PMI) at roughly 0.85% of the loan annually:

Item	10% Down	20% Down (savings)
Principal & Interest	$1,499	$1,332
Monthly PMI	$168	$0
Total PITI+PMI	$1,953	$1,619

The lower down payment costs you an extra $334/month (P&I + PMI). You would need $84,000/yr to qualify under the 28% DTI rule. PMI can typically be canceled once you reach 20% equity.

First-year interest: In year one, $13,633 of your payments go to interest alone. Over the full 30-year term, you'll pay $268,864 in total interest.

💰 State-Specific Cost Notes for Mississippi

Property taxes in Mississippi are relatively low at 0.58%, costing about $1,528/year ($127/month) on the median home. This is one area where Mississippi offers a clear cost advantage.

Homeowners insurance in Mississippi is among the more expensive in the country — $1,907/year ($159/month), about 28% above the national average of $1,492. Premiums this high are usually driven by weather exposure, so it is worth comparing quotes from several insurers before you commit.

Closing costs in a mid-range market like Mississippi typically run 2%–4% of the purchase price — roughly $9,223 on a $263,500 home. This includes loan origination, appraisal, title insurance, escrow fees, and prepaid taxes/insurance.

Monthly Payment on a $263,500 Home in Mississippi

With a standard 20% down payment ($210,800 loan) and a 6.5% interest rate on a 30-year fixed-rate mortgage, your estimated total monthly payment comes to $1,619.

Monthly Payment Breakdown (PITI)

Component	Monthly Cost	Annual Cost
Principal & Interest	$1,332	$15,984
Property Taxes (0.58% est.)	$127	$1,524
Home Insurance	$159	$1,908
Total Monthly Payment	$1,619	$19,428

Income Required in Mississippi

Using the standard 28% front-end DTI rule, you'd need a gross annual income of approximately $70,000 to comfortably afford the median-priced home in Mississippi with 20% down at 6.5%.

How Interest Shapes Your Payments

In your first year, approximately $13,633 goes toward interest alone. Over the full 30-year term, you'll pay a total of $268,864 in interest.

Amortization Schedule — First 10 Years

* Full 30-year amortization available in our interactive calculator.

❓ Frequently Asked Questions — Buying a Home in Mississippi

Compare Mississippi With Nearby States

Buyers relocating within the South compare these markets most often. Every figure uses the same model as this page — each state's median home price, 20% down, 6.5% APR on a 30-year fixed loan, plus that state's property tax rate and average insurance premium — so the rows are directly comparable.

At $1,619/month for Mississippi's median home, Mississippi sits below the South average of $1,860/month for the states listed here.

See mortgage payments for all 50 states + DC →

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