The typical owner-occupied home in Potomac is worth about $1,157,000, 2.8 times the Maryland median of $419,900 and 3.5 times the national median of $332,700. Owners pay a median $10,001 a year in property taxes, about 0.86% of their home's value, lower than the Maryland rate of 0.97%. The median household earns $236,675 a year, so the median home costs 4.9 times the median income (4.1 times for Maryland). 85% of occupied homes here are lived in by their owners, and 64% of those owners still have a mortgage.
Potomac at a glance
| Potomac | Maryland | U.S. | |
|---|---|---|---|
| Median home value | $1,157,000 | $419,900 | $332,700 |
| Median property tax paid per year | $10,001 | $4,093 | $3,119 |
| Property tax as a share of value | 0.86% | 0.97% | 0.94% |
| Median household income | $236,675 | $103,678 | $80,734 |
| Homes lived in by their owners | 85% | 68% | 65% |
| Owner homes with a mortgage | 64% | 71% | 61% |
| Median monthly costs, owners with a mortgage | $4,001 | $2,347 | $1,963 |
| Those costs as a share of the owners' income | 19.4% | 20.5% | 21.0% |
| Median rent | $2,887 | $1,705 | $1,413 |
| Rent as a share of renters' income | 27.3% | 30.8% | 30.6% |
| Median year homes were built | 1977 | 1979 | 1980 |
| Vacant homes | 2.9% | 7.7% | 10.1% |
| Population | 45,902 | 6,206,011 | 334,922,499 |
What a typical home costs per month in Potomac
At this week's average 30-year rate of 7.11%, buying the median Potomac home of $1,157,000 with 20% down costs about $7,538 a month, including property taxes and insurance. With an FHA loan and 3.5% down, it's about $9,651, because the loan is bigger and FHA adds mortgage insurance.
Lenders usually want housing costs under about 28% of gross income, which means an income of roughly $323,050 for the 20%-down payment. That payment is 38% of the median Potomac household income of $236,675; at that income and 20% down, the 28% guideline points to a home of about $848,000.
The median rent here is $2,887 a month, so owning the median home costs about $4,651 a month more than renting, before you count the equity you build and any tax benefits.
| Down payment | $231,400 |
|---|---|
| Loan amount | $925,600 |
| Principal and interest | $6,227 |
| Property taxes (0.86% a year) | $829 |
| Homeowners insurance (our estimate, 0.5% a year) | $482 |
| PMI | $0 |
| Total per month | $7,538 |
Change the numbers in the calculator
| Down payment | $40,495 |
|---|---|
| Loan amount | $1,136,044 |
| Principal and interest | $7,642 |
| Property taxes (0.86% a year) | $829 |
| Homeowners insurance (our estimate, 0.5% a year) | $482 |
| FHA mortgage insurance | $698 |
| Total per month | $9,651 |
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Questions about home buying in Potomac
What is the median home value in Potomac?
About $1,157,000 for owner-occupied homes, according to the Census Bureau's 2020–2024 American Community Survey.
How much are property taxes in Potomac?
Homeowners pay a median $10,001 a year, which is about 0.86% of the median home value. Your bill depends on your home's assessed value and local rates.
What income do you need to buy a home in Potomac?
For the median home with 20% down at 7.11%, the payment is about $7,538 a month. Keeping that under 28% of gross income takes about $323,050 a year.
More about Potomac
- Mortgage Refinance in Potomac
- Debt Relief in Potomac
- Home Equity Loans in Potomac
- Guides and quotes for mortgage refinance on our sister site, MortgageRefinance.com
Sources: U.S. Census Bureau, American Community Survey 2020–2024 5-year estimates; Freddie Mac Primary Mortgage Market Survey, week of November 12, 2026. Estimates for small places have wide margins of error. About our data