What is the average cost of a house in the US in 2026?

The average US home price is approximately $420,000 in 2026. The median price is around $390,000. Prices vary dramatically by location, from $200,000 in affordable states to $800,000+ in expensive coastal markets.

How much should I save for a house down payment?

The traditional recommendation is 20% down to avoid PMI, which is $84,000 on a $420,000 home. However, many buyers put down 3-10%, ranging from $12,600 to $42,000, plus 2-5% for closing costs.

Average Cost of a House in 2026 (By State)

The average US home costs $420,000 in 2026, with median prices around $390,000. Here’s what homes actually cost by state and how to determine how much house you can afford.

National Home Price Overview

Metric	2026
Average home price	$420,000
Median home price	$390,000
Average price per sq ft	$215
Year-over-year change	+5%

Home Prices by State

State	Median Home Price	vs. National
Hawaii	$850,000	+118%
California	$780,000	+100%
Massachusetts	$620,000	+59%
Washington	$600,000	+54%
Colorado	$550,000	+41%
New York	$540,000	+38%
New Jersey	$530,000	+36%
Oregon	$500,000	+28%
Utah	$490,000	+26%
Connecticut	$450,000	+15%
Rhode Island	$440,000	+13%
Arizona	$430,000	+10%
US Median	$390,000	—
Florida	$390,000	0%
Nevada	$380,000	-3%
Texas	$340,000	-13%
Virginia	$370,000	-5%
Idaho	$410,000	+5%
North Carolina	$330,000	-15%
Georgia	$320,000	-18%
Tennessee	$310,000	-21%
Pennsylvania	$290,000	-26%
Michigan	$250,000	-36%
Ohio	$230,000	-41%
Indiana	$225,000	-42%
Missouri	$220,000	-44%
Iowa	$210,000	-46%
Kansas	$205,000	-47%
Oklahoma	$195,000	-50%
Arkansas	$185,000	-53%
West Virginia	$165,000	-58%
Mississippi	$160,000	-59%

Home prices vary enormously by market — the home buying hub covers every stage of the process. Before committing, compare homeownership and renting in renting vs. buying a home, and understand the full cost of living impact of ownership.

Major Metro Home Prices

Metro Area	Median Price
San Francisco	$1,350,000
San Jose	$1,400,000
Los Angeles	$900,000
Seattle	$820,000
San Diego	$850,000
Boston	$750,000
New York (NYC)	$700,000
Denver	$600,000
Austin	$480,000
Portland	$550,000
Miami	$500,000
Phoenix	$440,000
Dallas	$420,000
Chicago	$330,000
Atlanta	$380,000
Houston	$340,000
Philadelphia	$300,000
Detroit	$220,000
Cleveland	$190,000
Pittsburgh	$230,000

Down Payment Requirements

Down Payment %	On $390K Home	PMI Required?
3%	$11,700	Yes
5%	$19,500	Yes
10%	$39,000	Yes
15%	$58,500	Yes
20%	$78,000	No
25%	$97,500	No

PMI typically costs 0.5-1% of loan balance annually.

Total Upfront Costs

Cost Type	Typical Range
Down payment	3-20% of price
Closing costs	2-5% of price
Inspection	$400-$600
Appraisal	$400-$700
Home warranty	$400-$700
Moving costs	$1,000-$5,000

Example: $390,000 Home

Cost	20% Down	10% Down
Down payment	$78,000	$39,000
Closing costs (3%)	$11,700	$11,700
Other costs	$3,000	$3,000
Total needed	$92,700	$53,700

Monthly Payment Breakdown

$390,000 home, 20% down, 30-year mortgage:

Component	Monthly	Annual
Principal & Interest (6.5%)	$1,972	$23,664
Property tax (~1%)	$325	$3,900
Homeowners insurance	$150	$1,800
PMI (if applicable)	$0-$200	$0-$2,400
Total	$2,447+	$29,364+

Add HOA ($100-$500/month) if applicable.

How Much House Can You Afford?

Income-Based Guidelines

Annual Income	Max Home Price (3x)	Max Price (4×)
$60,000	$180,000	$240,000
$80,000	$240,000	$320,000
$100,000	$300,000	$400,000
$125,000	$375,000	$500,000
$150,000	$450,000	$600,000
$200,000	$600,000	$800,000

Conservative: 3× income. Stretch: 4× income.

The 28/36 Rule

Rule	Guideline
28% Rule	Housing costs ≤ 28% of gross income
36% Rule	Total debt ≤ 36% of gross income

Monthly Payment by Home Price

Home Price	20% Down	Monthly Payment
$250,000	$50,000	$1,580
$300,000	$60,000	$1,895
$350,000	$70,000	$2,210
$400,000	$80,000	$2,525
$450,000	$90,000	$2,840
$500,000	$100,000	$3,155
$600,000	$120,000	$3,790
$750,000	$150,000	$4,735

*At 6.5% interest rate, 30-year term. Add property tax and insurance.

Price Per Square Foot by Region

Region	Price/Sq Ft
Northeast	$250-$400
West Coast	$350-$700
Southeast	$150-$250
Midwest	$125-$200
Southwest	$200-$350
Mountain	$200-$350

Home Type Price Comparison

Home Type	Median Price	Pros
Single-family	$420,000	Privacy, space, appreciation
Townhouse	$320,000	Lower price, some yard
Condo	$290,000	Low maintenance, amenities
Duplex/triplex	$380,000	Rental income potential
Mobile/manufactured	$100,000	Affordable entry

Annual Ownership Costs

Cost	% of Home Value	On $400K Home
Property taxes	0.5-2.5%	$2,000-$10,000
Insurance	0.3-0.7%	$1,200-$2,800
Maintenance	1-2%	$4,000-$8,000
Utilities	—	$3,000-$6,000
HOA (if applicable)	—	$1,200-$6,000
Total		$11,400-$32,800

Interest Rate Impact

Rate	Monthly Payment	Total Interest*
5.0%	$1,675	$290,000
5.5%	$1,774	$326,000
6.0%	$1,876	$363,000
6.5%	$1,972	$402,000
7.0%	$2,076	$441,000
7.5%	$2,181	$481,000
8.0%	$2,288	$522,000

*$390K home, 20% down, 30-year loan.

A 1% rate increase = ~$100/month more on a typical home.

First-Time Buyer Programs

Program	Benefit
FHA loan	3.5% down, lower credit requirements
VA loan	0% down for veterans
USDA loan	0% down in rural areas
State programs	Down payment assistance
Fannie/Freddie	3% down for qualified buyers

Bottom Line

Key Metric	Guideline
Average US home	$420,000
Median US home	$390,000
Down payment target	10-20%
Max price	3-4× annual income
Monthly housing	≤28% of gross income
Total upfront needed	~25% of purchase price

The average home price of $420,000 requires approximately $85,000-$100,000 upfront and $2,800+/month in ongoing costs. Buy within your means — not at the top of your approval amount.

Written by WealthVieu

WealthVieu researches and writes data-driven personal finance guides using primary sources including the IRS, Bureau of Labor Statistics, Federal Reserve, and Census Bureau.

The content on Wealthvieu is for informational purposes only and should not be considered financial, tax, or investment advice. Consult a qualified professional before making financial decisions. Full disclaimer · Editorial policy