Estimate your monthly mortgage payment in Detroit. With a median home price near $95,000 and a property tax rate around 2.1%, see your full principal, interest, tax, and insurance payment.
Last updated: May 2026 · Data: MIT Living Wage Calculator, C2ER, U.S. Census, BLS, IRS, state and city sources
The median home price in Detroit is about $95,000, and Wayne County has an effective property tax rate near 2.1% of value per year. Michigan property taxes are relatively high, but Proposal A caps how fast a home's taxable value can grow, and the Principal Residence Exemption removes the local school operating millage (about 18 mills) from an owner-occupied primary home, lowering the effective rate versus rentals and second homes.
| Cost Item | Detroit Estimate |
|---|---|
| Median Home Price (2026) | $95,000 |
| 20% Down Payment | $19,000 |
| Loan Amount (80% LTV) | $76,000 |
| Effective Property Tax Rate | 2.1% per year |
| Est. Annual Property Tax | $1,995/year |
| Est. Monthly Property Tax | $166/month |
| Average Rent (2-bedroom) | $1,400/month |
Your payment includes principal and interest (fixed for a fixed-rate loan), plus property tax and insurance, typically escrowed. With less than 20% down you also pay PMI, usually 0.5% to 1.5% of the loan per year until you reach 20% equity.
Detroit is the largest city in Michigan and the historic capital of the American auto industry, headquarters to General Motors and Stellantis with a major Ford presence nearby, and is rebuilding around mobility technology, healthcare, finance, and a revitalized downtown and riverfront.
| Local Metric | Detroit (2026 estimate) |
|---|---|
| Metro population | 630,000 |
| County / jurisdiction | Wayne County |
| Cost of living index (US avg = 100) | 96 |
| MIT living wage, single adult | $21.00/hour |
| MIT living wage, one earner supporting a family of four | $40.00/hour |
| Applicable minimum wage | $13.73/hour |
| Average rent, 1-bedroom | $1,150/month |
| Average rent, 2-bedroom | $1,400/month |
| Median home price | $95,000 |
| Median household income | $39,000/year |
| Combined sales tax rate | 6% |
| Effective property tax rate | 2.1% of value/year |
Local figures are 2026 estimates compiled from the MIT Living Wage Calculator, the C2ER Cost of Living Index, U.S. Census and Zillow housing data, and city and county sources. Verify current figures before relying on them.
The median home price in Detroit is approximately $95,000 in 2026. A 20% down payment is about $19,000, leaving a loan of roughly $76,000. Prices vary widely by neighborhood.
The effective property tax rate in Wayne County is about 2.1% of value per year. On a $95,000 home that is roughly $1,995/year, or about $166/month, usually collected through escrow.
A common guideline keeps housing payments (PITI) under 28% of gross monthly income. On a $95,000 home with 20% down at 6.75% over 30 years, plan for a household income high enough to keep the full payment within that guideline in Detroit.
Average rent in Detroit is about $1,150/month for a 1-bedroom and $1,400 for a 2-bedroom. Compare that to the calculated PITI payment above. In much of Michigan, monthly buying costs can be close to rent, but property taxes are relatively high and are usually the largest line item outside the mortgage itself.
Most conventional lenders want 620+, FHA allows 580 with 3.5% down, and VA and USDA loans have no set minimum but lenders prefer 620+. A score of 740+ earns the best rates and can save tens of thousands over the loan.