Massachusetts · State guide
How to buy a house in Massachusetts
One of the most expensive states in the country, but with unusually deep public homebuyer support — including a no-PMI loan and up to $30,000 in down payment help. Here is the playbook for buying in the Bay State.
Last updated June 2026
Why Massachusetts is different
Buying a house in Massachusetts, the short version
The federal process is the same everywhere — read the complete guide to buying a house for the eight universal steps — but Massachusetts has its own programs, taxes, and closing rules worth knowing before you start.
The picture: Massachusetts is one of the most expensive states (a statewide single-family median around $665,000; Greater Boston and the Islands are in another league, while Worcester and Western Massachusetts are far more affordable). The upside is unusually generous help — MassHousing offers up to $30,000 in down payment assistance, and the state’s ONE Mortgage gives 3% down with no PMI, ever.
Two things to plan for. Massachusetts requires an attorney to close, and it’s a “buyer beware” state with limited seller disclosure — so the home inspection matters (and a new 2025 law protects your right to one). Home insurance is moderate inland but a real challenge on the coast. Use the 50-state hub to compare other states.
The market
What homes cost in Massachusetts
One of the priciest markets in the country, with an enormous gap between the coast and the west.
The statewide median single-family price was about $665,000 in spring 2026 (The Warren Group), essentially flat year over year, with chronically low inventory keeping prices high. Prices vary enormously by region:
Median prices by area
Nantucket is in a league of its own, ~$3M+ · Martha’s Vineyard (Dukes) ~$1.7M · Greater Boston single-family ~$834K · Cape Cod (Barnstable) ~$821K · Middlesex (Cambridge/Newton) ~$737K–$875K · Worcester ~$470K · Berkshires ~$355K · Springfield (Hampden) the most affordable, ~$310K. Western Massachusetts offers by far the most value.
Down payment & rate help
Massachusetts homebuyer programs
You don’t apply directly — you work through a participating MassHousing or MHP lender. A 640 credit score and a homebuyer course are the main requirements.
-
01
MassHousing Mortgage + DPA
A fixed-rate first mortgage paired with up to $30,000 in down payment assistance. For a limited 2026 window (rate locks through July 31, 2026), the help is a $25,000 or $30,000 0%-interest, fully-deferred second — no monthly payment, repaid only when you sell or refinance. It also includes job-loss payment protection (MI Plus).
-
02
ONE Mortgage (no PMI)
The standout: a 30-year fixed loan with just 3% down, a below-market rate, and no private mortgage insurance — ever. Lower-income buyers also get a publicly funded interest subsidy that cuts the monthly payment by about 20%. ONE+ adds up to $50,000 of help in Boston and Gateway Cities.
-
03
Workforce Advantage & STASH
For lower-income buyers (≤80% AMI), Workforce Advantage pairs a MassHousing loan with paid mortgage insurance and a 0% deferred DPA second. First-generation buyers can build savings through the STASH matched-savings program (grants up to $20,000).
-
04
Veterans & federal help
Operation Welcome Home helps active military, veterans, and Gold Star families with flexible terms and closing-cost help. Plus VA (0% down), FHA (3.5% down), and USDA (0% down) — much of central and western Massachusetts qualifies as rural.
The program rules in brief
You’ll generally need a 640 credit score (660 for a two- or three-family), completion of an approved homebuyer education course, and household income under area limits — generous in eastern Massachusetts (the 2026 MassHousing DPA reaches up to ~$205,000 income), lower in the west. ONE Mortgage caps household assets (most retirement and college savings are excluded). Note timing and funding: the MassHousing 0% deferred DPA window closes July 31, 2026 and is capped at about 1,000 families, and the federally funded MassDREAMS grant is now closed (despite some outdated listings online).
★ Free expert help
Buying in Massachusetts? Get matched with a local expert.
From the ONE Mortgage and MassHousing’s $30,000 help to getting a real insurance quote on a Cape or coastal home, a local pro can walk you through it — and answer the questions this page can’t. Free, with no obligation.
Property taxes
Property taxes in Massachusetts: capped by Proposition 2½
Massachusetts property taxes are moderate as a rate but high in dollars — an effective rate roughly 1.0%–1.14%, but on high home values the median single-family bill runs near $6,900. Property is assessed locally at full market value. The defining law is Proposition 2½, which caps each town’s total tax levy at 2.5% of assessed value and limits annual levy growth to 2.5% (plus new construction); towns can only exceed it with a voter-approved override.
Rates vary hugely by town — and a high rate isn’t a high bill
FY2026 residential rates range from about $2.18 per $1,000 in the lowest town to over $20 in the highest, averaging around $12. But a high rate doesn’t mean a high bill: rural Western Massachusetts towns have high rates on low values (a bill near $800), while wealthy suburbs like Weston top $22,000, and the Cape and Islands have very low rates on very high values. Some cities — Boston, Cambridge, Somerville, Brookline — offer a residential exemption for owner-occupants (worth ~$3,656 in Boston). Seniors 65+ may qualify for the state Circuit Breaker tax credit (up to ~$2,820).
Closing & costs
Closing on a home in Massachusetts
Massachusetts is an attorney-closing state — a licensed attorney must conduct the closing, examine title, and record the deed (figure $800–$1,500 in attorney fees). Title insurance is standard (a lender’s policy is required; an owner’s policy is optional but recommended, and cheaper bought together). The transfer tax — the deed excise or “tax stamps” — is $4.56 per $1,000 and is customarily paid by the seller (about $2,280 on a $500,000 sale). On financing, the 2026 conforming limit is $832,750, but most Boston-metro counties and the Islands reach the high-cost ceiling of $1,249,125; Western Massachusetts is at the baseline (FHA floor $541,287).
Cape & Islands extras — and the new inspection law
Two coastal quirks: Barnstable County (Cape Cod) charges a higher deed excise (around $6.12 per $1,000), and on Martha’s Vineyard and Nantucket the buyer pays an extra 2% Land Bank fee — $20,000 on a $1M island home. On disclosure, Massachusetts is largely “buyer beware”: there’s no all-purpose seller disclosure form (only lead paint for pre-1978 homes and septic must be disclosed). That makes your home inspection essential — and a new law (effective October 2025) protects your right to an inspection, barring sellers from forcing buyers to waive it.
Insurance & risks
Insuring a Massachusetts home
Home insurance in Massachusetts is moderate inland — averaging roughly $1,500–$2,600 a year depending on coverage — but it’s a growing challenge on the coast. The biggest claim driver statewide is winter weather: ice dams, frozen pipes, and snow load. Nor’easters and wind are significant, and the Cape, Islands, and South Shore face real hurricane and storm-surge risk. The state’s old housing stock (colonial-era wiring and plumbing) also raises costs.
On the coast, the FAIR Plan and a wind deductible are the norm
Private insurers increasingly decline homes near the water, so the Massachusetts FAIR Plan (the insurer of last resort) now covers about 4 in 10 homes on Cape Cod and the Islands. Coastal policies usually carry a separate wind/hurricane deductible — a percentage of your home’s value (1%–5%), not a flat amount. And flood is never covered by a standard policy, so coastal and riverine buyers need a separate NFIP policy. The takeaway: if you’re buying on the coast, get an insurance quote before you commit — availability and cost can make or break the deal.
Wherever you buy
The steps that work the same in Massachusetts
Massachusetts sets the local rules, but these parts of buying are the same everywhere.
Quick answers
Buying a house in Massachusetts: common questions
How much money do you need to buy a house in Massachusetts?
With ONE Mortgage or a conventional loan you need 3% down, FHA 3.5%, and VA or USDA can be 0%. On a typical ~$665,000 home that’s roughly $20,000 down plus closing costs. MassHousing can add up to $30,000 toward the down payment, and ONE Mortgage skips PMI entirely. See how much you really need →
Does Massachusetts have down payment assistance?
Yes. MassHousing offers up to $30,000 (a 0% fully-deferred loan for rate locks through July 2026), ONE+ adds up to $50,000 in Boston and Gateway Cities, and STASH offers matched-savings grants up to $20,000. See assistance programs →
What is the ONE Mortgage program?
ONE Mortgage is a state-backed 30-year fixed loan with 3% down and no private mortgage insurance, ever. Lower-income buyers also get a public interest subsidy that lowers the monthly payment by about 20%. It’s one of the best first-time-buyer loans in the country.
How does Proposition 2½ affect property taxes?
Prop 2½ caps each town’s total property tax at 2.5% of assessed value and limits annual levy growth to 2.5% plus new construction. Towns can only exceed it with a voter override, which keeps Massachusetts tax growth predictable.
Do I need an attorney to buy a house in Massachusetts?
Yes. Massachusetts requires a licensed attorney to conduct the closing — examine title, prepare documents, and record the deed. Budget roughly $800–$1,500 for the closing attorney, plus title insurance.
What credit score do you need in Massachusetts?
ONE Mortgage and MassHousing generally require a 640 (660 for a two/three-family). For loans broadly, FHA can go to 580 and VA/USDA typically want 620. Check the score by loan type →
Does Massachusetts have a transfer tax?
Yes — a deed excise of $4.56 per $1,000, usually paid by the seller. Barnstable County (Cape Cod) is higher (~$6.12), and on Martha’s Vineyard and Nantucket the buyer pays an extra 2% Land Bank fee.
Do home sellers have to disclose problems in Massachusetts?
Mostly no — Massachusetts is a “buyer beware” state with no general disclosure form (only lead paint and septic must be disclosed). That’s why your own inspection is essential, and a 2025 law now protects your right to one. How inspections fit the process →
What’s the conforming loan limit in Massachusetts?
$832,750 in most counties, but the Boston metro (Suffolk, Middlesex, Norfolk, Essex, Plymouth) and the Islands reach the high-cost ceiling of $1,249,125. Western counties are at the baseline; the FHA floor is $541,287.
★ Ready for the next step?
Don’t navigate the Massachusetts market alone.
Tell us where you are in the process and we’ll connect you with an expert who can help — whether that’s the ONE Mortgage, MassHousing’s down payment help, sorting out coastal insurance, or fixing your credit. It’s free, with no obligation.
Compare states
Buying in a different state?
The programs, taxes, and closing rules change at the state line. Pick another state, or see all 50.