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Montgomery, AL mortgage & affordability calculator

The typical home in Montgomery, AL is worth about $155,000. With 20% down that's a loan near $124,000 — the calculator is pre-filled with that figure. As Alabama's capital, Montgomery has some of the lowest home prices of any state capital, supported by steady state-government and Maxwell Air Force Base employment. The state's rock-bottom property tax rate is the biggest reason a median home here costs so little to carry.

$805.09 / month

Total interest
$165,828
Total paid
$289,828
Payoff
30.0 years
Balance over YearBalance ends near $0 at 30.$0$31k$62k$93k$124k0612182430Year

How much you need to earn

Montgomery, AL's median household income is about $54,000 a year. Under standard 28/36 lending rules that supports a home price around $186,304 with 20% down — comfortably above the $155,000 typical price.

$186,253 max home price

Max loan amount
$155,253
Housing payment budget
$1,260
P&I budget
$1,008
Bound by
front-end ratio

Uses the 28% front-end / 36% back-end DTI guidelines. Lenders vary.

Typical asking rent in Montgomery, AL is about $1,050 a month, so owning the median home costs roughly $7 more per month before tax effects, maintenance, and any change in home value.

Frequently asked questions

What is a typical mortgage payment in Montgomery, AL?
On the metro's roughly $155,000 typical home with 20% down, the loan is about $124,000. Principal and interest run near $805 a month at today's rate, and Montgomery, AL's property tax plus insurance add about $252, for a full payment near $1,057.
Can I afford a home in Montgomery, AL on the median income?
The median household income is about $54,000 a year. Under standard 28/36 lending rules that supports a home price around $186,304 with 20% down — above the $155,000 typical price, so a median home is within reach.
Is it cheaper to rent or buy in Montgomery, AL?
Typical asking rent is about $1,050 a month. The full owner payment on a median home is near $1,057, so owning costs roughly $7 more per month before tax effects, maintenance, and any appreciation.
How much are property taxes in Montgomery, AL?
The effective property tax rate in the core county is about 0.40% of market value — roughly $620 a year on the typical home. Your exact rate depends on the municipality and any exemptions.
Are home prices in Montgomery, AL rising or falling?
Home values are up about 2% over the past year. As Alabama's capital, Montgomery has some of the lowest home prices of any state capital, supported by steady state-government and Maxwell Air Force Base employment. The state's rock-bottom property tax rate is the biggest reason a median home here costs so little to carry.

Nearby metros

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