Measuring Mortgage Debt Throughout the U.S.

Nationally, mortgage debt has risen in recent years, according to new WalletHub research. Per the report, mortgage debt is by far the most common type of debt for Americans, with the average household owing approximately $100,000 and an overall balance exceeding $12 trillion. Interest rates have also climbed substantially in recent years, increasing the expense of owning.

“Mortgage rates are the highest they’ve been in around a decade, and home prices have seen a meteoric rise in recent years as well,” said John Kiernan, a WalletHub Editor. “Even small increases in home prices can lead to thousands of dollars in extra mortgage interest costs for homeowners, so it’s important to choose wisely when deciding where and when to buy a house.”

U.S. States Adding the Most Mortgage Debt:

  1. Maryland (Total score: 88.4)
  2. Nevada (76.81)
  3. Hawaii (75.35)
  4. Texas (74.07)
  5. Arizona (73.20)
  6. California (70.85)
  7. Massachusetts (70.67
  8. New York (70.40)
  9. Maine (69.89)
  10. Alaska (69.42)

U.S. States Adding the Least Mortgage Debt:

  1. Vermont (8.95)
  2. Delaware (22.93)
  3. Wyoming (23.32)
  4. Connecticut (42.95)
  5. Montana (43.64)
  6. Idaho (45.91)
  7. Nebraska (46.50)
  8. South Dakota (48.06)
  9. Iowa (50.55)
  10. Mississippi (51.27)

Analyzing the Top States Adding the Most Mortgage Debt

1. Maryland: “The Old Line State”

Maryland gained the most mortgage debt between Q3 2023 and Q4 2023, at least in percentage terms, with the average balance increasing by 1.23% to $283,092. While this may not appear to be a significant gain, it is when you realize that no other state saw an increase of more than 1%. In fact, mortgage debt decreased in 17 states during Q4.

Maryland households not only have the highest average mortgage balance growth, but they also have one of the highest mortgage amounts overall. As a result, their average monthly payment is quite high, at $2,145. In addition to heavy mortgage debt, Maryland residents face a comparatively high property tax rate on their homes.

Maryland

2. Nevada: “The Silver State”

Nevada households added the second-most mortgage debt from Q3 2023 to Q4 2023, with a 0.73% increase that raised the state’s average total to $279,215.

The average Nevada homeowner can expect to pay $1,888 per month for their mortgage, which is less than the top state but still highly expensive. Nevada ranks 39th in the country for overall affordability for its citizens. Nevada residents also suffer with other types of borrowing, placing eighth among states with the highest levels of personal loan debt.

Nevada

3. Hawaii: “The Aloha State”

Hawaii has the third-highest mortgage debt from Q3 2023 to Q4 2023. While the percentage rise was minor, at only 0.07%, the average mortgage total rose to an astounding $366,362. In Q4, only four states had an average balance of $300,000 or more, while several had an average of less than $200,000.

The average monthly mortgage payment in Hawaii is $2,419, which is high given that Hawaii is already the second-most expensive U.S. state to live in.

Hawaii

While choosing a place to purchase a property to call home can be a daunting task, mortgage debt is a factor American’s should take into account when choosing a state to settle down in.

To read the full report, including more data, charts, tips, and methodology, click here.

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Demetria C. Lester

Demetria C. Lester

Demetria C. Lester is a reporter for MortgagePoint (formerly DS News and MReport) with more than eight years of writing and editing experience. She has served as content coordinator and copy editor for the Los Angeles Daily News and the Orange County Register, in addition to 11 other Southern California publications. A former editor-in-chief at Northlake College and staff writer at her alma mater, the University of Texas at Arlington, she has covered events such as the Byron Nelson and Pac-12 Conferences, progressing into her freelance work with the Dallas Wings and D Magazine. Currently located in Dallas, Texas, Lester is a jazz aficionado, Harry Potter fanatic, and likes to read. She can be reached at demetria.lester@thefivestar.com.
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