Mississippi Mortgage Calculator (with Mississippi Property Taxes & Insurance)

Mississippi has one of the lowest effective property tax rates in the country, and the reason is structural rather than just a low millage rate. Mississippi assesses owner-occupied residential property at only 10% of its true market value, compared to 15% for other residential property and 30% for commercial and industrial property. Local millage rates are then applied to that much smaller assessed value, which is why a home's actual annual tax bill in Mississippi tends to run far below what the same millage rate would produce in a state that assesses closer to full market value.

This calculator uses a 0.79% effective property tax rate applied directly to the purchase price, which approximates Mississippi's statewide average effective rate for owner-occupied homes once the 10% assessment ratio and typical local millage are combined. Mississippi also offers a homestead exemption that provides an additional tax credit, up to a set dollar cap, for owner-occupied primary residences, further lowering many homeowners' actual bills below even the 0.79% average used here.

The tool combines a standard 30-year fixed amortization schedule for principal and interest with the estimated property tax escrow and a flat insurance placeholder to produce a single monthly PITI figure, letting buyers compare home prices, down payment sizes, and rate scenarios side by side.

1. Down payment and loan principal. loanPrincipal = homePrice × (1 − downPaymentPercent).
2. Principal and interest. The principal is amortized over 360 months at the entered annual rate:

$$M = P \times \frac{r(1+r)^n}{(1+r)^n - 1}$$

where $P$ is the loan principal, $r$ is the monthly interest rate, and $n$ is 360 months.

1. Property tax escrow. monthlyTax = homePrice × 0.79% ÷ 12, applying Mississippi's approximate statewide owner-occupied effective rate.
2. Insurance. A flat $125 monthly placeholder.
3. Total PITI. The four components are summed.

Using the calculator's default inputs:

• Home price: $380,000.00
• Down payment: 20%
• Interest rate: 6.5%

Down payment and principal: $380,000.00 × 20% = $76,000.00 down; loan principal = $304,000.00.

Principal and interest: amortizing $304,000.00 over 360 months at 6.5% APR gives a payment of $1,921.48, with total interest over the full term of approximately $387,735.

Property tax: $380,000.00 × 0.79% ÷ 12 = $250.17 per month.

Insurance: $125.00 per month.

Total PITI: $1,921.48 + $250.17 + $125.00 = $2,296.65 per month.

• Mississippi's homestead exemption credit. Owner-occupants who file for the homestead exemption receive an additional tax credit up to a statutory dollar cap, on top of the reduced 10% assessment ratio already built into the 0.79% effective rate estimate. This calculator does not model the homestead credit separately, so an eligible homeowner's actual bill could run below the figure shown here.
• County and municipal millage variation. Mississippi's 82 counties and their municipalities each set their own millage rates for schools, county government, and other local services, producing effective rates that vary from the 0.79% statewide average used here.
• The 10% versus 15% assessment ratio distinction. Owner-occupied homes are assessed at 10% of market value while other residential property, such as rentals, is assessed at 15%. This calculator's flat rate assumes owner-occupied treatment and would understate the tax on non-homestead residential property.
• Private mortgage insurance (PMI). At 20% down, PMI is typically not required, but the calculator does not add it for the lower-down-payment scenario toggle.
• Flood insurance in coastal counties. Mississippi Gulf Coast counties often require substantially higher flood and windstorm insurance premiums than the flat $125 placeholder used here reflects.

• Assuming the low effective rate means Mississippi has low millage rates. The low effective rate mostly comes from the 10% assessment ratio on owner-occupied homes, not unusually low millage; a home's nominal millage rate can still look similar to rates in other states even though the effective tax paid is much lower.
• Forgetting to file for the homestead exemption. New owner-occupants who miss filing the required homestead exemption application with the county tax assessor by the deadline can end up paying more than necessary in the following tax year.
• Applying the 10% assessment ratio to a rental or non-homestead property. Non-owner-occupied residential property is assessed at 15%, not 10%, so this calculator's default rate understates the tax bill for an investment property purchase.
• Underestimating coastal insurance costs. The flat $125 monthly insurance placeholder does not reflect the higher windstorm and flood insurance premiums common in Hancock, Harrison, and Jackson counties along the Gulf Coast.
• Ignoring PMI on the 5%-down comparison scenario. The built-in low-down-payment toggle changes the loan principal but does not add mortgage insurance to the monthly total.

• Mississippi Department of Revenue: Property Tax assessment ratios and homestead exemption guidance, Miss. Code Ann. Title 27, Chapter 33 and Chapter 35.
• Mississippi State Tax Commission: Ad valorem property tax administration guidance.
• Consumer Financial Protection Bureau (CFPB): TILA-RESPA Integrated Disclosure (TRID) rules for mortgage cost disclosure.
• Tax Foundation: State and Local Property Tax Rates, 2025/2026 edition.