With a 4.4% top income tax rate and 0.51% property tax, Colorado homeowners face a moderate combined tax burden. This calculator is pre-filled with Colorado numbers: $535,000 median price, 0.51% property tax, $2,600/year insurance.
Last updated: March 13, 2026
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Monthly Payment (Colorado)$0
Loan Details — Colorado
Colorado median: $535,000
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Below 20% triggers PMI on conventional loans
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Average 30-year fixed ~6.75% (March 2026)
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Colorado average: 0.51%
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Colorado average: $2,600/yr
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Property Tax
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Colorado Metro Area Home Prices
Click a metro to load its median price into the calculator above.
Yearly Amortization Schedule+
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Colorado's Tax Landscape and Your Mortgage
Colorado levies a flat 4.4% income tax on all taxable income. A household earning $150,000 pays approximately $4,950 in state income tax, which reduces the amount available for monthly mortgage payments by roughly $413/month.
At the state's median home price of $535,000, the $0.51% property tax rate adds $227/month to your mortgage payment. That's $2,729/year — below the national median of ~1.1%.
Property Taxes Across Colorado
The 0.51% statewide average masks significant variation. Low property tax rates but high home values push dollar amounts up
Price ranges across the state: Denver has a median of $580,000, while Colorado Springs sits at $445,000 — a $135,000 gap that dramatically changes your monthly payment. At $0.51% property tax, that price difference alone means $57/month more in property tax in Denver.
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Homebuyer Programs and Exemptions
Colorado offers several programs for homebuyers:
CHFA FirstStep and FirstStep Plus with down payment assistance
CHFA SectionEight Homeownership program
Homestead exemption: Senior homestead exemption: 50% of first $200,000 in actual value for qualifying seniors/disabled veterans
Colorado-Specific Considerations
Low property tax rates but high home values push dollar amounts up
Insurance costs rising sharply due to wildfire and hail risk — some of the highest in the nation
Flat 4.4% income tax (reduced from 4.55% in 2024)
Denver metro has seen 60%+ price appreciation since 2019
Denver, Aurora, and several other Colorado cities levy occupational privilege taxes ($4–$10/month) plus city income taxes (not a percentage but a flat monthly amount) — a minor but notable local tax layer
Insurance Costs in Colorado
At $2,600/year, Colorado's average homeowners insurance premium is significantly above the national average of approximately $1,500/year. That's $217/month added to your housing cost — a factor that's easy to overlook when comparing states. Insurance costs rising sharply due to wildfire and hail risk — some of the highest in the nation
Compare Colorado Mortgage Rates
See personalized rates from Colorado lenders. LendingTree matches you with up to 5 offers so you can compare and save.
0.39% property tax, 5% top rate. Median home: $232,500.
Alaska Mortgage Calculator
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1.04% property tax, no income tax. Median home: $340,000.
Arizona Mortgage Calculator
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0.62% property tax, 2.5% top rate. Median home: $395,000.
Frequently Asked Questions
What is the average property tax rate in Colorado?
The average effective property tax rate in Colorado is 0.51%. On a $535,000 home (the state median), that works out to approximately $2,729/year or $227/month added to your mortgage payment. Property tax rates vary by county and school district within Colorado — always check your specific jurisdiction's rate. Homestead exemption: Senior homestead exemption: 50% of first $200,000 in actual value for qualifying seniors/disabled veterans
How much does homeowners insurance cost in Colorado?
The average annual homeowners insurance premium in Colorado is approximately $2,600 ($217/month). This is well above the national average of approximately $1,500/year, largely driven by natural disaster risk in the state. Actual premiums depend on your home's location, age, construction type, and coverage limits.
What first-time homebuyer programs are available in Colorado?
CHFA FirstStep and FirstStep Plus with down payment assistance. CHFA SectionEight Homeownership program. These programs typically have income limits, purchase price caps, and may require homebuyer education courses. Check the Colorado housing finance agency website for current eligibility requirements and application deadlines.
How does Colorado's 4.4% income tax affect home affordability?
Colorado's top income tax rate of 4.4% reduces your take-home pay, which affects how much mortgage you can comfortably carry. On a $150,000 salary, state income tax takes roughly $4,290-$5,610/year (effective rate is lower than the top marginal rate). The tradeoff: Colorado's relatively low 0.51% property tax rate keeps the housing-specific portion of your tax burden lower. Use our paycheck calculator to see your exact take-home pay.
What is the conforming loan limit in Colorado?
The 2026 conforming loan limit in Colorado is $806,500. Loans above this amount are considered jumbo loans and typically carry higher interest rates (0.25-0.5% premium), require larger down payments (10-20%), and have stricter qualification requirements including higher credit scores (700+) and lower debt-to-income ratios.
This calculator is for educational purposes. Tax rates and insurance costs are based on Colorado state averages and may not reflect your specific county, school district, or municipality. Consult a financial professional for advice specific to your situation.