Affordability · Greater Boston
How much house can I afford in Boston?
Every page answering this quotes one number. That number is true for exactly one down payment, one interest rate and one town's tax rate — and false for almost everyone reading it. Put your own figures in instead.
Run your numbers
This works backwards. You give it a purchase price and your assumptions; it returns the monthly carrying cost and the gross household income a lender's standard ratios imply you would need to support it.
- Loan amount
- $600,000
- Principal & interest
- $3,792
- Property tax
- $688
- Insurance
- $150
- Condo fee
- $0
- Total monthly housing
- $4,630
A screening estimate, not a pre-approval. It does not model mortgage insurance below 20% down, and it assumes a level-payment mortgage. Your lender's answer is the one that counts.
What this leaves out, and why it matters here
Three Massachusetts-specific costs sit outside the monthly figure above: the attorney every closing requires, the residential exemption that several towns grant owner-occupants, and the deed excise a seller pays.
Massachusetts closes through attorneys rather than escrow or title companies, so an attorney fee is unavoidable rather than optional — commonly $750 to $1,250 for a straightforward purchase. That is cash on the day, not part of the monthly.
The residential exemption is the one that moves the monthly figure most, and the one buyers most often miss. Several Greater Boston towns grant it to owner-occupants who apply by the deadline, and it reduces taxable value rather than the rate — which is why the same house can carry a materially different tax bill depending on whether you filed. It is never applied automatically on purchase.
Massachusetts also runs first-time buyer programmes worth checking before you assume you need 20% down, including one with 3% down and no private mortgage insurance. Boston buyers can access up to $50,000 from the city on top of state assistance, subject to income and asset limits.
Questions about affordability here
What income do I need to buy a house in Boston?
It depends far more on your down payment, mortgage rate and the town's property tax rate than on any city-wide figure. Published 2026 estimates for a median-priced Boston home cluster between $180,000 and $195,000, but they disagree because each assumes a different down payment and rate. Working backwards from your own numbers through the standard 28% housing ratio gives an answer that applies to you rather than to an average.
What is the 28/36 rule?
A lending guideline, not a law. It suggests housing costs stay under 28% of gross monthly income, and total debt including housing under 36%. Lenders vary and many approve above both. It is a useful sanity check rather than a threshold you must clear.
Does this include closing costs?
No. This estimates the monthly carrying cost and the income it implies. Closing costs are separate cash you need on the day, and in Massachusetts they include an attorney — the state closes through attorneys rather than escrow companies, commonly a flat fee in the region of $750 to $1,250 for a straightforward purchase — plus lender fees, title insurance, recording and prepaids.
Why does the property tax rate matter so much?
Because it is set per town and varies enough between neighbouring towns to change what you can afford at the same price. Several Greater Boston towns also grant a residential exemption to owner-occupants who apply for it, which reduces the taxable value and can be worth thousands a year. It is not applied automatically when you buy.
Should I put down less than 20%?
It is possible and common, but below 20% most conventional loans add mortgage insurance, which raises the monthly cost this calculator does not model. Massachusetts also runs first-time buyer programmes, including one with 3% down and no private mortgage insurance, which changes the arithmetic enough to be worth checking before assuming you need a fifth of the price in cash.
Is renting first a reasonable choice?
Often, yes — particularly if you are relocating and do not yet know which town suits you. Buying into the wrong town costs a full transaction to undo, and Greater Boston towns differ enough that this is a real risk rather than a hypothetical one.
Sources
Every figure on this page is reproduced from the source listed against it, for orientation rather than as advice. Massachusetts fiscal years roll on 1 July and municipalities republish on their own schedules, so confirm anything you plan to rely on before you rely on it.
- Consumer Financial Protection Bureau
- Range across published 2026 estimates
- Commonwealth of Massachusetts
- Corroborated across multiple Massachusetts brokerages
Last verified .
Want this run against a real town?
Send a price range and the towns you are considering. Devarshi will come back with the actual tax rate and exemption position for each.