Mississippi Mortgage Calculator
Calculate your Mississippi mortgage payment with PMI, property tax, and closing costs.
Useful for home buyers in Jackson, Gulfport, Southaven, Hattiesburg, Biloxi, and all of Mississippi.
Useful for home buyers in Jackson, Gulfport, Southaven, Hattiesburg, Biloxi, and all of Mississippi.
Why use a Mississippi Mortgage Calculator?
Mississippi offers one of the lowest property tax rates in the US with a homestead exemption benefit. This calculator estimates your payment with accurate Mississippi-specific taxes and costs.
Mississippi offers one of the lowest property tax rates in the US with a homestead exemption benefit. This calculator estimates your payment with accurate Mississippi-specific taxes and costs.
Result
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Mississippi Property Tax: The average effective property tax rate is about 0.81%, among the lowest in the US. Mississippi offers a homestead exemption of up to $300 in tax savings for qualified owner-occupied homes.
Average Home Prices in Major Mississippi Cities (2024)
| City | Detached | Semi-Detached | Townhouse | Condo |
|---|---|---|---|---|
| Jackson | $185,000 | $160,000 | $140,000 | $130,000 |
| Gulfport | $210,000 | $180,000 | $160,000 | $150,000 |
| Southaven | $240,000 | $210,000 | $190,000 | $170,000 |
| Hattiesburg | $195,000 | $170,000 | $155,000 | $140,000 |
| Biloxi | $215,000 | $185,000 | $165,000 | $155,000 |
Note: Prices are approximate averages for 2024 and may vary by neighborhood and property features.
How Mortgage Rules Work in Mississippi
- Property Tax: Mississippi has one of the lowest average property tax rates in the nation at 0.81%. Property is assessed at different percentages of its market value depending on the property type.
- Homestead Exemption: Mississippi offers a homestead exemption that can reduce the assessed value of an owner-occupied residence by up to $7,500, resulting in up to $300 in tax savings.
- Assessment Ratio: For residential property, Mississippi uses a 10% assessment ratio, meaning homes are taxed at 10% of their actual market value.
- Transfer Tax: Mississippi charges a modest deed transfer tax of 0.15% of the property value.
- PMI (Private Mortgage Insurance): If your down payment is less than 20%, you must pay PMI, which is added to your monthly payment until you reach 20% equity.
Example: On a $200,000 home with 10% down in Jackson, the assessed value would be $20,000 (10% of market value). With the homestead exemption, this could be reduced to $12,500, resulting in annual property taxes of approximately $1,340. Closing costs typically run 2-5% of the purchase price.
Frequently Asked Questions
Mississippi's homestead exemption reduces the assessed value of an owner-occupied home by up to $7,500, resulting in a tax savings of up to $300 per year. To qualify, you must own and occupy the home as your primary residence as of January 1st of the tax year. The exemption applies to the first 160 acres of property. You must apply for the exemption between January 1 and April 1 at your local county tax assessor's office. Once granted, the exemption continues automatically each year as long as ownership and occupancy requirements are met.
Property taxes in Mississippi are calculated using a multi-step process: First, the tax assessor determines your property's market value. Next, the assessment ratio is applied (10% for residential property), resulting in the assessed value. From this assessed value, any applicable homestead exemption (up to $7,500) is deducted. Finally, the local millage rate (which varies by county and municipality) is applied to the resulting value. The millage rate is expressed in mills, with each mill representing $1 of tax per $1,000 of assessed value after exemptions.
Yes, the Mississippi Home Corporation (MHC) offers several assistance programs for first-time homebuyers. These include the Smart Solution mortgage program, which provides competitive interest rates, and down payment assistance of up to 3.5% of the loan amount. The MHC also offers Mortgage Credit Certificates (MCCs) that can provide a dollar-for-dollar tax credit of up to $2,000 per year on mortgage interest paid. Additionally, the Housing Assistance for Teachers (HAT) program provides special benefits for eligible teachers, including lower interest rates and down payment assistance.