States With the Most Mortgage Debt

The average mortgage debt in West Virginia is just $128,004 — the lowest among the 50 states. The lower average debt is partially due to lower home values in the state. The typical home in West Virginia is worth just $124,600, the least of any state in the country.

Low home values not only reduce the amount buyers need to borrow but also make homeownership affordable for a wider range of budgets. West Virginia’s homeownership rate of 73.4% is the highest of any state.

Homeowners with a mortgage in Mississippi have on average $135,374 in outstanding liabilities — the second lowest amount of any state.

Mortgage debts tend to be lower in places where home values are also low, and in Mississippi, the typical home is worth just $128,200, the second lowest median home value of any state. Home values are typically a reflection of what area residents can afford, and just as home values are low in Mississippi, so, too, are incomes. The typical household in the state earns $45,792 a year, less than in every other state and well below the national median household income of $65,712.

Indiana has the lowest average mortgage debt of any state in the Midwest and third lowest nationwide. Homeowners with a mortgage in the state owe an average of just $140,915 on their home loan, nearly $90,000 below the national average.

Homeowners in Indiana are more likely than most to finance their home through a lender. An estimated 65.2% of homeowners in the state have an outstanding mortgage, a larger share than in most states and slightly higher than the 61.7% share of homeowners with a mortgage nationwide.

The typical home in Ohio is worth $157,200 — less than in all but seven other states and well below the national median home value of $240,500. Lower home values mean homeowners do not have to borrow as much. The average mortgage debt in Ohio is $142,293, the fourth lowest of any state.

Lower-valued homes also make homeownership more affordable for a broader range of budgets, and may help explain the slightly lower than average concentration of renters in the state. Only 34.0% of Ohio residents rent compared to 35.9% of all Americans.

The average mortgage debt in Arkansas of $143,066 is the fifth lowest of any state and about $86,000 lower than the national average. Residents of Arkansas are also less likely to be financing their home with a mortgage than most other Americans. Only 53% of homeowners in the state have an outstanding mortgage, well below the 61.7% share of homeowners nationwide who do.

Both the low average mortgage debt in Arkansas and the relatively small share of homeowners with a mortgage are likely due in part to lower home values in the state. The typical home in Arkansas is worth $136,200, over $100,000 less than the national median home value of $240,500.

The average mortgage debt in Kentucky is $143,329 — the sixth lowest amount of any state. Mortgage debts tend to be lower in places where home values are also low, and in Kentucky, the typical home is worth just $151,700, the fifth lowest median home value of any state.

Home values are typically a reflection of what area residents can afford, and just as home values are low in Kentucky, so too are incomes. The typical household in the state earns $52,295 a year, less than in all but six other states and well below the national median household income of $65,712.

Iowa is one of only eight states where the average mortgage debt is less than $150,000. The low mortgage debt is likely partially the result of the state’s relatively affordable housing market. The typical home in Iowa is worth $158,900, only 2.6 times more than the state’s median household income of $61,691. Meanwhile, nationwide, the comparable affordability ratio is far higher, at 3.7-to-1.

Affordable housing also likely explains the widespread homeownership in the state. Iowa’s homeownership rate of 70.5% is 10th highest among states and well above the 64.1% national rate.

Oklahoma is one of only four states where most homes are worth less than $150,000. Due in part to relatively low home values, mortgage debt in Oklahoma is also relatively low, averaging just $147,538.

Home values are typically a reflection of what area residents can afford, and just as home values are low in Oklahoma, so too are incomes. The typical household in the state earns $54,449 a year, less than in most other states and well below the national median household income of $65,712.

The average homeowner with a mortgage in Michigan has $150,482 in outstanding mortgage liabilities — the ninth lowest amount of any state. The relatively low mortgage debt is likely partially the result of the state’s affordable housing market. The typical home in Michigan is worth $169,600, only 2.8 times more than the state’s median household income of $59,584. Meanwhile, the affordability ratio nationwide is far higher, at 3.7-to-1.

Affordable housing also likely explains the widespread homeownership in the state. Michigan’s homeownership rate of 71.6% is fifth highest among states and well above the 64.1% national rate.

The typical home in Missouri is worth $168,000, about $72,500 less than the median home value nationwide. Lower home values mean that homeowners borrow less. The average mortgage debt in Missouri is $155,203, one of the lowest averages among states.

Home values are typically a reflection of what area residents can afford, and just as home values are low in Missouri, so too are incomes. The typical household in the state earns $57,409 a year, less than in most other states and well below the national median household income of $65,712.

The average mortgage debt in Kansas is $155,277 — the 11th lowest amount of any state. The lower mortgage debt is likely partially the result of the state’s relatively affordable housing market. The typical home in Kansas is worth $163,200, only 2.6 times more than the state’s median household income of $62,087. Meanwhile, the comparable affordability ratio nationwide is far higher, at 3.7-to-1.

The state’s affordable housing also likely explains why homeowners in Kansas are less likely than those in most other states to need to take out a mortgage in the first place. Only 57.9% of homeowners in Kansas are financing with a mortgage, compared to 61.7% of all U.S. homeowners.

The average mortgage debt in Nebraska of $156,568 is the 12th lowest of any state and about $73,000 less than the national average mortgage debt. Residents of Nebraska are also slightly less likely to be financing their home with a mortgage than most other Americans. Only 59.5% of homeowners in the state have an outstanding mortgage, compared to the 61.7% share of homeowners nationwide who do.

Both the low average mortgage debt in Nebraska and the relatively small share of homeowners with a mortgage are likely due in part to low home values in the state. The typical home in Nebraska is worth $172,700, nearly $68,000 less than the national median home value of $240,500.

The Midwest has some of the most affordable housing markets in the country. In Wisconsin, for example, the typical home is worth $197,200, only 3.1 times more than the state’s median household income of $64,168. Meanwhile, the affordability ratio nationwide is far higher, at 3.7-to-1.

With a favorable income-to-home value ratio, average mortgage debt is relatively low in Wisconsin. The typical homeowner with a mortgage in the state owes $160,116 in mortgage debt, less than in most states and about $69,000 below the typical homeowner with a mortgage nationwide.

The South has some of the least expensive housing in the country. In Alabama, for example, the typical home is worth just $154,000, the sixth lowest median home value of any state and about $86,500 below the national median. With low home values, state residents can afford homes without taking out large loans. The average mortgage debt among homeowners in Alabama is $160,341, less than in most states and about $69,000 less than the national average mortgage debt.

Home values are typically a reflection of what area residents can afford, and just as home values are low in Alabama, so too are incomes. The typical household in the state earns $51,734 a year, less than in most other states and well below the national median household income of $65,712.

The average mortgage debt in Louisiana is just $165,572, about $64,000 less than the national average. The below average mortgage debt across the state is partially attributable to relatively low home values in the state. The typical Louisiana home is worth just $172,100, less than in most other states and about $68,400 below the national median.

Low home values also mean residents are less likely to need to take out a mortgage to afford a home, and those who do can pay down their mortgage faster. Only 51.7% of homeowners in Louisiana are paying a mortgage, a smaller share than in all but two other states and well below the 61.7% national share.

The average mortgage debt in Maine is $167,615, the lowest of any state in the Northeast and the 16th lowest nationwide.

Not only do homeowners in Maine tend to owe less than those in most other states, but Maine residents in general are more likely to own their home than most other Americans. Only 27.8% of housing units in Maine are rented compared to 35.9% of housing units nationwide. Similarly, Maine’s homeownership rate of 72.2% is the second highest among states and well above the 64.1% national rate.

Vermont is one of the few states in the Northeast with lower average mortgage debt than the comparable national average. An estimated 61.7% of homeowners in the Green Mountain State have a mortgage, and the average debt among them is $172,919 — about $56,300 less than the national average.

Homes in Vermont are about as affordable as they are nationwide on average. The typical home in Vermont is worth $233,200, 3.7 times more than the state’s median household income of $63,001 — exactly in line with the comparable affordability ratio nationwide of 3.7-to-1.

The average mortgage debt in South Dakota is $173,005, less than in most other states and about $56,200 less than the national average.

As is often the case in states with lower average mortgage debt, homes cost less than average in South Dakota, and homeowners are less likely to need to take out a mortgage. The typical home in South Dakota is worth $185,000, about $55,500 less than the typical home nationwide, and only 55.6% of homeowners in the state have a mortgage, compared to 61.7% of homeowners nationwide.

The average mortgage debt in New Mexico is $174,292, about $55,000 below the national average. The below average mortgage debt across the state is partially attributable to relatively low home values in the state. The typical home in New Mexico is worth just $180,900, less than in most other states and about $59,600 below the national median.

Low home values also mean residents are less likely to need to take out a mortgage to afford a home, and those who do can pay down their mortgage faster. Only 52.9% of homeowners in New Mexico are paying a mortgage, a smaller share than in all but four other states and well below the 61.7% national share.

The average mortgage debt in Pennsylvania is $175,648, less than in most states. As is typically the case in areas with lower than average mortgage debt, homes are less expensive than average in Pennsylvania. The typical home in the Keystone State is worth $192,600, about $53,600 below the national median.

With lower than home values, Pennsylvanians are also less likely to need to take out a mortgage. An estimated 59.1% of homeowners in the state have a mortgage on their home, a slightly smaller share than the 61.7% of homeowners nationwide.

The average mortgage debt in North Dakota is just $181,930, less than in most other states. Not only do homeowners in North Dakota have a lower than average debt burden, but they are also less likely to be paying a mortgage at all. Only 52.1% of homeowners in the state are paying a mortgage, well below the 61.7% share of homeowners nationwide.

As is typically the case in states with relatively low average mortgage debt, North Dakota has lower than average home values. The typical home in the state is worth $205,400, about $35,100 less than the national median home value.

South Carolina is one of only a handful of states where the average mortgage debt exceeds the median home value. The typical home in the state is worth $179,800, while the average mortgage debt stands at $183,603.

South Carolina residents are more likely than average to live in their own home than rent. The state’s homeownership rate of 70.3% is higher than most states and the comparable 64.1% national homeownership rate.

The average mortgage debt in Tennessee is $184,360, less than in most other states. Not only do homeowners in Tennessee have a lower than average debt burden, but they are also less likely to be paying a mortgage at all. Only 58.2% of homeowners in the state are paying a mortgage, compared to the 61.7% share of homeowners nationwide.

As is typically the case in states with relatively low average mortgage debt, Tennessee has lower than average home values. The typical home in the state is worth $191,900, about $48,600 less than the national median home value.

About half of all states have an average mortgage debt below $190,000, and North Carolina is among them, with an average mortgage debt of $188,520. The median home value in North Carolina is also lower than average, at $193,200 — about $47,300 below the national median.

North Carolina residents are about as likely as the typical American to own their home. The state’s homeownership rate of 65.3% is closely in line with the 64.1% national rate.

An estimated 62.4% of homeowners in Illinois have a mortgage, and the average debt among them is $189,808 — about $39,400 less than the national average.

Homes in Illinois are relatively affordable compared to much of the rest of the country. The typical home is worth $209,100, only 3.0 times more than the state’s median household income of $69,187. Meanwhile, the comparable affordability ratio nationwide is far higher, at 3.7-to-1.

The average mortgage debt in Georgia of $196,030 is close to the median of all states, but is still about $33,200 less than the national average.

Though mortgage debt in the state is lower than average, homeowners in Georgia are slightly more likely to be paying a mortgage than the typical American homeowner. An estimated 64.2% of Georgia homeowners have a mortgage, compared to 61.7% of homeowners nationwide.

The average mortgage debt in Minnesota is $198,039 — the highest in the Midwest, but close to the median among all states and about $31,200 less than the national average.

The typical single family home in Minnesota is worth $246,700, compared with the national median home value of $240,500. Though home prices are closely in line with the national average, they are generally more affordable, as incomes are relatively high in Minnesota. The typical household in the state earns $74,593 a year, well above the national median household income of $65,712.

Texas is one of 23 states where the average mortgage debt exceeds $200,000. Texas is also one of a handful of states where average mortgage debt exceeds the median home value. The typical home in the Lone Star State is worth $200,400 while the average debt among mortgage holders stands at $201,084.

Home values in Texas are slightly lower than they are nationwide, which may explain the relatively small share of homeowners with an outstanding mortgage loan. Just 56.1% of homeowners in the state are paying down a mortgage, compared to 61.7% of homeowners nationwide.

The average mortgage debt in Montana is $206,561, more than in most states but about $22,700 less than the national average.

Montana is one of only a few states with lower than average mortgage debt where homes are less affordable than average. The typical home in Montana is worth $253,600, 4.4 times more than the state’s median household income of $57,153. Meanwhile, the comparable affordability ratio nationwide is lower, at 3.7-to-1.

New Hampshire is one of only a handful of states with a higher than average median home value and lower than average mortgage debt. The typical home in New Hampshire is worth $281,400, compared to the national median home value of $240,500. Meanwhile, the average mortgage debt in the state of $208,570 is about $20,700 below the national average mortgage debt.

Lower mortgage debt despite the state’s higher home values is likely attributable in part to higher than average incomes. The typical household in New Hampshire earns $77,933 a year, well above the national median household income of $65,712.

The average mortgage debt in Idaho is $208,645, more than in most states but about $20,600 less than the national average. Idaho’s median home value of $255,200 is also higher than in most states and slightly above the $240,500 national median.

Residents of Idaho are more likely to reside in a home that they own than most Americans. The state’s homeownership rate of 71.6% is higher than in all but five other states and well above the 64.1% national rate.

Both the average mortgage debt and median home value are higher in Wyoming than in most other states, but they are still slightly below the comparable national figures. The average mortgage debt in the state of $208,716 is about $20,500 less than the national average. Similarly, the typical home in Wyoming is worth $235,200, just under the national median home value of $240,500.

Residents of Wyoming are more likely to reside in a home that they own than most Americans. The state’s homeownership rate of 71.9% is higher than in all but three other states and well above the 64.1% national rate.

The average mortgage debt in Delaware of $210,933 is higher than in most states but about $18,300 less than the national average.

Home Values are higher than average in Delaware, which means borrowers may be more likely to take on a greater debt load — but the higher costs are offset in part by higher than average incomes. The typical home in Delaware is worth $261,700, about $21,200 more than the national median home value. But the typical household in the state earns $70,176 annually, compared to the national median household income of $65,712.

Florida has the highest average mortgage debt of any state in the South except Maryland and Virginia. An estimated 56.3% of homeowners in the Sunshine State have a mortgage, and the average debt among them is $214,203 — more than in most states, but about $15,000 below the national average.

Home values in Florida are closely in line with the national average. The typical single-family home in the state is worth $245,100, compared with the national median of $240,500.

The average mortgage debt in Rhode Island is $217,019, more than in most states but about $12,200 less than the national average.

Accounting for income, homes in Rhode Island are less affordable than average. The typical home in the state is worth $283,000, 4.0 times more than the state’s median household income of $71,169. Meanwhile, the comparable affordability ratio nationwide is slightly lower, at 3.7-to-1.

The average mortgage debt in Arizona is $229,332, more than in most states but closely in line with the national average.

Accounting for income, homes in Arizona are less affordable than they are on average nationwide. The typical home in the state is worth $255,900, 4.1 times more than the state’s median household income of $62,055. Meanwhile, the comparable affordability ratio nationwide is slightly lower, at 3.7-to-1.

Homeowners with a mortgage in Alaska are more likely to have a greater outstanding debt than the typical American with a mortgage. The average mortgage debt in the state of $244,840 is about $15,600 higher than the national average.

While debt levels are higher in the state, homeowners are slightly less likely to be paying a mortgage than the typical American homeowner. An estimated 60.8% of homeowners in Alaska are paying down a mortgage, compared to 61.7% of homeowners nationwide.

Connecticut has the fourth highest average mortgage debt in the Northeast, and the 13th highest nationwide. Among all state residents with a mortgage, the average debt stands at $247,241, about $18,000 higher than the national average.

Not only are homeowners in the state more likely to borrow more than average, they are also more likely to have to borrow in the first place. An estimated 66.2% of Connecticut homeowners have a mortgage, compared to 61.7% of all U.S. homeowners.

The typical home in Nevada is worth $317,800, the 11th highest median home value among states and well above the $240,500 national median. Higher home values mean many in the state need to borrow more to afford a home, and partially as a result, the average mortgage debt of $253,602 in the state is about $24,400 higher than the national average.

Homes in Nevada are far less affordable than average. The state’s median home value is 5.0 times more than the state’s median household income of $63,276. Meanwhile, the comparable affordability ratio nationwide is lower, at 3.7-to-1. Likely partially as a result, Nevada’s homeownership rate of 56.6% is the third lowest among states.

Utah has the sixth highest average mortgage debt in the Western United States, and the 11th highest nationwide. Among all state residents with a mortgage, the average debt stands at $258,635, about $29,400 higher than the national average.

Home Values are higher than average in Utah, which means borrowers may be more likely to take on a greater debt load — but the higher costs are offset in part by higher than average incomes. The typical home in Utah is worth $330,300, about $89,800 more than the national median home value. But the typical household in the state earns $75,780 annually, compared to the national median household income of $65,712.

The median home value in Oregon of $354,600 is higher than in all but five other states nationwide. With higher home values, many in the state need to borrow more to afford homeownership. Partially as a result, average mortgage debt in Oregon stands at $261,147, about $31,900 more than the national average.

High home values may partially explain why Oregon residents are more likely to rent than the typical American. Oregon’s homeownership rate of 62.9% is lower than most other states and the 64.1% national rate.

The average mortgage debt of $269,570 in Virginia is the second highest in the South and ninth highest among all states.

The typical home in Virginia is worth $288,800, well above the national median home value of $240,500. However, after accounting for incomes, homeownership is about as affordable in Virginia as it is nationwide. The state’s median home value is 3.8 times more than the state’s median household income of $76,456 — in line with the national affordability ratio of 3.7-to-1.

The average mortgage in New Jersey has a balance of $270,329 — more than in the vast majority of other states. Higher mortgage debt is more common in places with high home values, and in New Jersey, the typical home is worth $348,800, over $100,000 more than the typical U.S. home.

Even accounting for income, homeownership in New Jersey is less affordable than much of the rest of the country. The state’s median home value is 4.1 times more than the state’s median household income of $85,751. Meanwhile, the comparable affordability ratio nationwide is slightly lower, at 3.7-to-1.

Maryland’s average mortgage debt of $274,311 is the highest in the South and seventh highest among all states. Residents of the state are also more likely than average to need to borrow to afford a home. An estimated 71.9% of homeowners in Maryland have a mortgage, the largest share of any state and over 10 percentage points higher than the 61.7% share of homeowners who have a mortgage nationwide.

High mortgage debt and high borrowing rates are due in part to high home values. The typical home in Maryland is worth $332,500, far more than the $240,500 national median home value.

The typical home in New York is worth $338,700, nearly $100,000 more than the national median home value. As is often the case in areas with high home values, mortgage debt is also high in New York. Average mortgage debt in the state stands at $274,349, more than in all but five other states.

High home values — particularly in New York City — likely explain why New Yorkers are more likely to rent than most Americans. The state’s homeownership rate of 53.5% is the lowest in the country and well below the 64.1% national homeownership rate.

The average mortgage debt in Massachusetts of $292,513 is the highest in the Northeast and the highest of any state outside of Western U.S. High debt among mortgage holders in the state is attributable in part to high home values. The typical Massachusetts home is worth $418,600, the third highest median home value among states.

Even accounting for income, homeownership in Massachusetts is less affordable than much of the rest of the country. The state’s median home value is 4.9 times more than the state’s median household income of $85,843. Meanwhile, the comparable affordability ratio nationwide is far lower, at 3.7-to-1.

Colorado’s average mortgage debt of $297,813 is the fourth highest among all states. Residents of the state are also more likely than average to need to borrow to afford a home. An estimated 70.8% of homeowners in Colorado have a mortgage, nearly the largest share of any state and well above the 61.7% share of homeowners who have a mortgage nationwide.

High mortgage debt and high borrowing rates in the state are due in part to high home values. The typical home in Colorado is worth $394,600, far more than the $240,500 national median home value.

Washington is one of only three states where the average mortgage debt exceeds $300,000. An estimated 67.7% of homeowners in the state are paying down a mortgage, and the average debt among them stands at $307,407 — about $78,200 more than the national average.

Homes in Washington are less affordable than they are on average nationwide. The typical home in the state is worth $387,600, 4.9 times more than the state’s median household income of $78,687. Meanwhile, the comparable affordability ratio nationwide is far lower, at 3.7-to-1.

Mortgage debt is far higher in Hawaii than it is nearly anywhere else in the country. Homeowners paying mortgages in Hawaii carry an average debt of $387,977, the second highest of any state — over $80,000 more than in Washington, the state with the third highest average mortgage debt, and $158,700 higher than the national average.

Such high debt levels are largely attributable to high home values. The typical home in the state is worth $669,200, the most of any state and well more than double the national median home value of $240,500.

The typical home in California is worth $568,500, over $300,000 more than the national median home value. As is often the case in areas with high home values, mortgage debt is also high in California. At $396,229, average mortgage debt in California is the highest in the country.

High home values also likely contribute to higher than average borrowing rates and lower than average homeownership rates. An estimated 69.0% of homeowners in California have a mortgage, compared to just 61.7% of homeowners nationwide, while the state’s homeownership rate of 54.9% is the second lowest of any state and well below the 64.1% national rate.