Estimate your monthly mortgage payment in California — including the state's 0.75% property tax rate and high home prices in LA, SF, and San Diego.
Enter your home price, down payment, rate, and loan term — get your full amortization schedule instantly.
Open Mortgage Calculator →California is the most expensive housing market in the continental United States. With a median home price of $750,000, buying in California requires substantial income, a large down payment, or a willingness to look beyond the major coastal metros. Despite its high costs, California remains attractive for its strong job market, weather, and lifestyle — driving continuous demand that keeps prices elevated.
The good news: California's property tax rate is among the lowest in the nation at 0.75%, and Proposition 13 limits annual assessment increases to 2%, providing long-term tax stability for homeowners.
California's 0.75% property tax rate sounds like a bargain compared to Texas (1.60%) — and it is, in percentage terms. But because California home values are so high, the dollar amounts are still significant:
• $500,000 home → $3,750/year → $313/month
• $750,000 home → $5,625/year → $469/month
• $1,200,000 home → $9,000/year → $750/month
Proposition 13 means your assessed value is locked at your purchase price and can only increase by 2% per year — a major long-term financial advantage for California homeowners who stay put.
Los Angeles: Median ~$850,000. Enormous market with neighborhoods ranging from affordable Inland Empire to ultra-premium Beverly Hills and Malibu.
San Francisco Bay Area: Median ~$1,200,000. Among the most expensive markets globally. Tech employment dominates. Many buyers look to East Bay cities like Oakland or Fremont for affordability.
San Diego: Median ~$850,000. Military presence, biotech, and tourism drive demand. Chula Vista and El Cajon offer more accessible price points.
Sacramento: Median ~$450,000. Most affordable major California metro. Growing as a Bay Area spillover market with improved transit links.
Using the 28% rule: to afford the median $750,000 California home with 20% down at 7%, your estimated monthly PITI is ~$4,700. That requires a gross monthly income of $16,800 ($201,000/year). Most California buyers use dual incomes, significant down payments, or focus on more affordable inland markets.
On the median $750,000 home with 20% down at 7% for 30 years, P&I is ~$3,990/month. Adding property tax ($469/mo) and insurance (~$100/mo) brings total PITI to approximately $4,560/month.
Prop 13 caps annual property tax increases at 2% and bases your tax on the purchase price, not current market value. When you buy, your tax is assessed at the full purchase price — but it only grows 2%/year thereafter, giving long-term owners significant tax advantages.
In most major California metros, single-income homeownership requires an income of $150,000–$200,000+. More affordable options include inland cities (Bakersfield, Fresno, Riverside) where median prices are $350,000–$450,000 and the income requirement drops to $80,000–$110,000.
Yes. CalHFA (California Housing Finance Agency) offers several programs including down payment assistance loans, below-market rate first mortgages, and forgivable second loans for first-time buyers. Income and purchase price limits apply. Visit calhfa.ca.gov for current offerings.