What is the average mortgage rate in Michigan in 2026?
Around 7.46% as of October 19, 2026, in line with national average.
Best Mortgage Rates Michigan 2026
Michigan offers affordable housing with an average home value of $259,857 in 2026. The state charges a real estate transfer tax of approximately 0.75% at the state level, plus a county-level tax of ~0.11%.
30-year fixed
7.46%
National avg
15-year fixed
6.82%
National avg
5/1 ARM
6.82%
National avg
| Product | Rate (APR) |
|---|---|
| 30-year fixed (national avg) | 7.46% |
| 15-year fixed (national avg) | 6.82% |
| 5/1 ARM (national avg) | 6.82% |
Rates verified Oct 21, 2026
Rates shown are national benchmark averages from the site data file, not live quotes from lenders. Confirm pricing with banks and brokers in Michigan. Not financial advice.
Michigan at a glance
- Average home price: $259,857
- State income tax: Yes (4.25% flat rate)
- Land transfer tax: Yes (state 0.75% + county ~0.11% = ~0.86% combined)
- Typical monthly payment: $1,448/mo on $259,857 with 20% down, 30-year term, at 7.46% — excludes taxes, insurance, and HOA.
Frequently Asked Questions
Does Michigan have a real estate transfer tax?
Yes — Michigan charges $3.75 per $500 at the state level (~0.75%) plus a county tax of ~$0.55 per $500 (~0.11%), for a combined rate of approximately 0.86%.
What is the average home price in Michigan in 2026?
$259,857 — below the national median.
How much do I need to earn to afford a home in Michigan?
To afford $259,857 with 20% down at 7.46%, you need approximately $60,000–$65,000 annual income.
Michigan mortgage calculator · Educational reference only. Not financial or lending advice.