Pennsylvania Mortgage Calculator

Pennsylvania imposes a 1% state realty transfer tax on the sale price at closing. Most municipalities add a local transfer tax of 1%, bringing the typical total to 2%. Philadelphia is higher at 4.278% total. By custom, the buyer and seller each pay 1% of the total, but this is negotiable and can be structured otherwise in the purchase agreement. On a $265,000 home, the total transfer tax is $5,300. Source: Pennsylvania Department of Revenue (https://www.revenue.pa.gov/TaxTypes/RTT/Pages/default.aspx).

Pennsylvania property taxes are set at the local level by counties, municipalities, and school districts — there is no statewide property tax. The average effective rate is 1.36% but ranges from under 1% in rural counties to over 2% in some Philadelphia suburbs. The Property Tax/Rent Rebate Program provides rebates of $650–$975 for eligible seniors, widows/widowers, and disabled persons with incomes under $45,000. Source: Pennsylvania Department of Revenue (https://www.revenue.pa.gov/IncentivesCreditsPrograms/PropertyTaxRentRebateProgram/Pages/default.aspx).

The 2026 FHFA conforming loan limit in Pennsylvania is $806,500 for all counties. Pennsylvania has no high-cost counties that qualify for elevated limits. Loans above $806,500 require jumbo financing with more stringent qualification requirements. Source: FHFA 2026 Conforming Loan Limit Table (https://www.fhfa.gov/data/conforming-loan-limit).

Yes — Pennsylvania municipalities levy a local earned income tax (EIT) in addition to the 3.07% state income tax. In Philadelphia it reaches 3.75% for residents. Pittsburgh residents pay a combined city/school rate of about 3%. This local tax burden reduces take-home pay and therefore cash available for mortgage payments. When qualifying, lenders use gross income, but budgeting should account for state + local income taxes plus property taxes. Source: PA Department of Community and Economic Development (https://munstats.pa.gov/Reports/ReportInformation2.aspx?report=mTaxEit).

The Pennsylvania Housing Finance Agency (PHFA) is the main source. The HOMEstead program offers up to $10,000 as a deferred loan for down payment and closing costs. The Keystone Advantage Loan provides up to 4% of the purchase price (max $6,000) as a second mortgage. Income limits are roughly $75,000–$105,000 depending on county and household size. Philadelphia also has its own programs through PHDC. Visit https://www.phfa.org for current programs and income limits.