Maine · main city

Buying a home in Portland, Maine

Portland median home value: $555,100 (Census ACS 2024), $213,200 above Maine's median. First-time buyer income limit: $139,100 (MaineHousing).

Checked on against the official sources listed at the bottom of the page.

In short

The median value of owner-occupied homes in Portland is $555,100 (Census ACS 2024; owner estimates, not sale prices). The FHFA House Price Index shows Maine prices up 1.1% between the second quarters of 2025 and 2026, and up 47.2% over five years. Maine charges a state transfer tax (Real estate transfer tax (36 M.R.S. 4641-A)) whose rule Payotte does not reduce to a single formula: $2.20 per $500 of value or fraction of $500; plus $3.80 per $500 on value above $1,000,000 (transfers on or after November 1, 2025). Selling a main home you owned and lived in for 2 of the last 5 years, the first $250,000 of gain ($500,000 for a married couple filing jointly) is excluded from federal income tax (IRS Publication 523).

Calculate for Portland

If you buy

Maine state transfer tax

Real estate transfer tax (36 M.R.S. 4641-A): $2.20 per $500 of value or fraction of $500; plus $3.80 per $500 on value above $1,000,000 (transfers on or after November 1, 2025).

Price$555,100
State transfer taxnot computed
Who paysShared by buyer and seller

Default price: the Portland median value of owner-occupied homes, $555,100 (Census ACS 2024). Not computed: Base tax = $2.20 x number of $500 units (fraction rounds up) on the whole price. Above $1,000,000, add $3.80 per $500 unit on the value above $1,000,000. Example: $1,200,000 gives 2,400 x $2.20 + 400 x $3.80 = $6,800. Under $1,000,000 the tax is units x $2.20. Who pays: The law imposes one half on the seller (grantor) and one half on the buyer (grantee); the sources do not address private agreements to reallocate it. Not included: county and city transfer taxes, recording fees, title insurance and lender charges. Maine transfer tax guide · all 50 states.

If you sell

Capital gain and the federal tax on it

Same federal rule in every state: Section 121 of the Internal Revenue Code excludes up to $250,000 of gain on a main home ($500,000 for a married couple filing jointly).

Capital gain$350,000
Section 121 exclusion$250,000 (limit $250,000)
Taxable gain$100,000
Type of gainLong-term (owned over 1 year), 15% chosen
Federal tax on the gain$15,000

Section 121 excludes $250,000; the rest is taxable.

Gain = sale price minus your adjusted basis (purchase price, buying costs and improvements); selling expenses reduce it (IRS Publication 523). Long-term rates for sales in 2026, by taxable income including the gain (IRS Rev. Proc. 2025-32, section 4.03): 0% up to $49,450 single or $98,900 married filing jointly, 15% up to $545,500 single or $613,700 jointly, 20% above. Not included: Maine state income tax on the gain (not computed), the net investment income tax, depreciation recapture on a rental or home office, and the reduced exclusion for an early sale. Agent commissions are negotiated and never set by law. Capital gains on a home sale.

In short

The median value of owner-occupied homes in the city of Portland, Maine is $555,100, according to the Census Bureau’s 2024 American Community Survey (margin of error ±$47,628). That is $213,200 above the Maine median of $341,900. MaineHousing’s first-time buyer income limit for the Portland area is $139,100 for 1 to 2 people.

How much homes cost in Portland

The Census Bureau’s American Community Survey (ACS) asks owners how much they think their home would sell for. The median of those answers is a useful benchmark, but it is not a sale price: it covers every owner-occupied home, including homes bought long ago. Our page on Maine home prices explains the method in detail.

AreaMedian value, 2024 (ACS)Margin of error (90%)
City of Portland$555,100±$47,628
Cumberland County$500,700±$19,186
Portland–South Portland metro area$474,200±$8,483
Maine$341,900±$4,987
United States$360,600±$618

Source: U.S. Census Bureau, ACS 1-Year Estimates 2024, table B25077. The 2025 estimates are scheduled for October 29, 2026.

The city figure has a wide margin of error, so the true median is very likely between about $507,500 and $602,700.

Are Portland prices rising?

FHFA’s purchase-only index, published August 25, 2026, covers about 100 large metro areas, and the Portland–South Portland metro area is not one of them. We can only give the statewide trend: Maine prices rose 1.1% between the second quarters of 2025 and 2026 and 47.2% over five years, against 2.1% and 33.4% for the United States. A statewide index does not tell you what Portland did.

Closing costs and taxes

Closing costs, transfer tax and property tax are covered in our state guides, which apply to a Portland purchase:

For how property tax can be paid through your monthly mortgage payment, read our guide to escrow accounts.

Help for Portland buyers

Portland sits in MaineHousing’s Portland HMFA. For the First Home Loan, First Generation and Salute ME programs, MaineHousing lists these limits:

Limit (Portland HMFA)Amount
Income, 1 to 2 people (effective June 1, 2026)$139,100
Income, 3 or more people (effective June 1, 2026)$159,965
Purchase price, 1-unit home$565,000

Source: MaineHousing, Homebuyer Income & Purchase Price Limits. The price table carries the effective date June 1, 2025.

The Portland median value of $555,100 is close to the $565,000 one-unit price ceiling, so a share of Portland homes may be above it. MaineHousing also names Portland among six cities in a private mortgage insurance pilot with Arch MI for one-unit homes and approved condominiums.

The City of Portland’s Housing Development page lists the HOME Program, the Housing Trust Fund, Affordable Housing Tax Increment Financing and city-owned and tax-acquired property as funding tools for affordable housing projects. We could not read the pages behind those headings and found no city down payment program, so contact the city before counting on local help. Programs, rates and amounts are on our page on Maine first-time buyer programs.

Maine guides for Portland buyers

Frequently asked questions

What is the median home price in Portland, Maine?

The Census Bureau’s 2024 American Community Survey puts the median value of owner-occupied homes in the city of Portland at $555,100 (±$47,628). This is what owners think their home is worth, not the median sale price of recent sales.

How does Portland compare with the rest of Maine?

Portland’s median value is $213,200 above Maine’s ($341,900), $54,400 above Cumberland County’s ($500,700) and $80,900 above the Portland–South Portland metro area’s ($474,200).

Are home prices in Portland going up?

FHFA does not publish a purchase-only index for the Portland–South Portland metro area. For Maine as a whole, the index rose 1.1% from the second quarter of 2025 to the second quarter of 2026 and 47.2% over five years.

What income limit applies to first-time buyers in Portland?

For MaineHousing programs, the Portland HMFA limit effective June 1, 2026 is $139,100 for households of 1 to 2 people and $159,965 for 3 or more.

Does Portland have a city down payment assistance program?

We found none. The city’s Housing Development page lists funding tools for affordable housing projects, but the pages we could open did not describe a buyer program. MaineHousing’s First Home and First Generation options provide $5,000 and $10,000 toward closing.

More Maine guides

Sources

Professionals by sector of Portland

Who licenses each trade in Maine

Maine · All states · Federal guides