California · 105th largest metro area

Buying a home in Modesto, California

In Modesto, the median value of owner-occupied homes is $442,700, Stanislaus County's effective property tax rate is 0.71%, a purchase mortgage carried a median $11,020 in total loan costs in 2025, and median gross rent is $1,690 a month.

Data as of : Census ACS 2020-2024, Census Vintage 2024, HMDA 2025, HUD FY 2027. Sources

Modesto home costs, fact by fact

About Modesto

Modesto lies in the Modesto, CA metro area, ranked 105th among U.S. metro areas, and is an incorporated city in California. HUD's Fair Market Rent for a two-bedroom in Stanislaus County is $1,803, while median gross rent is $1,690 per month. Owners estimate the median home value at $442,700, which is not a sale price, and 58.9% of homes are owner-occupied.

Reading the Modesto figures

Modesto sits near the lower end of the California cities Payotte covers, and the numbers show why it draws comparison with Stockton. Owners estimate their homes at $442,700, against $770,700 for the state. Stockton comes in just below, with $440,900, and Lancaster just above, with $446,600. Higher up come Chico, whose owners report $468,100; Palmdale, with $471,000; and Clovis, with $482,700. Going down the list from Modesto are San Bernardino reading $422,300 and Hesperia reading $409,000, plus Victorville reading $385,600, Fresno reading $374,800 and Bakersfield reading $371,700. Los Angeles, at $921,200, is the far reference point. None of these figures is a transaction price; each is what owners say their home would fetch.

Monthly rent in Modesto is $1,690, which is below Moreno Valley reading $2,135, Palmdale reading $1,802, Clovis reading $1,792, Lancaster reading $1,764 and Rialto reading $1,759, but above Victorville reading $1,618, Hesperia reading $1,590, Stockton reading $1,577, San Bernardino reading $1,508, Chico reading $1,488, Bakersfield reading $1,472 and Fresno reading $1,421. Home ownership reaches 58.9%, compared with 53.9% in Stockton, 50.1% in Fresno, 60.4% in Lancaster, 60.6% in Victorville and 67.2% in Hesperia. In Chico the share is 43.4%, and in Los Angeles 36%.

Turning to HUD, Modesto carries $1,803 for the smaller size and $2,410 for the larger size. Modesto's $1,690 survey rent falls below the smaller-home figure, but the numbers measure different things: one is a median of reported rents, the other a federal reference level, so they are not a like-for-like pair.

Stanislaus County supplies the tax and loan picture. Stanislaus County's median yearly tax bill is $3,216 charged using an effective rate of 0.71%, with the county's own median reading $450,100, a little above Modesto's own $442,700. Of 3,247 loans reported for 2025 in the county, the median cost $11,020, and the lower and upper quartiles sat at $6,123 and $14,865.

For context, Modesto has 220,592 residents and anchors the Modesto metro area, standing 105th nationally with 556,972 people. Modesto sits with Stockton (324,975 residents), San Bernardino logged at 224,775 and Bakersfield logged at 417,468 in a group of mid-sized cities whose values run from $371,700 in Bakersfield to $446,600 in Lancaster. Chico, with 102,911 residents, belongs to the same price band at $468,100, but only 43.4% of its households own, which makes it a market for renters, while Modesto at 58.9% leans toward owners. Hesperia, at $409,000, reaches 67.2%. Bakersfield, at $371,700 with a rent of $1,472, marks the lowest value among the cities named here, and its ownership share is 60.6%. The HUD benchmark of $1,803 gives a reference for any listing you consider, and the county loan range, from $6,123 to $14,865, gives one for the financing.

Calculate for California

If you buy

California state transfer tax

California has no state transfer tax; counties and cities may charge one.

Price$770,700
State transfer taxnot computed
Who paysSet by the purchase contract

Default price: the California median value of owner-occupied homes, $770,700 (Census ACS 2025). Not computed: No state tax. The tax is set by county and city, so it cannot be computed from the state alone. Who pays: Neither the state statute nor the City of Los Angeles FAQ assigns the tax; the purchase contract and escrow instructions decide. Not included: county and city transfer taxes, recording fees, title insurance and lender charges. California 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: California 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.

Questions about buying a home in Modesto

How much is property tax in Modesto?

Homeowners in Stanislaus County pay a median $3,216 a year in property tax, 0.71% of the county median home value of $450,100 (Census ACS 2020-2024). Your bill depends on your assessed value and local rates.

What are closing costs on a mortgage in Modesto?

Home-purchase mortgages in Stanislaus County carried median total loan costs of $11,020 in 2025; half of the 3,247 loans fell between $6,123 and $14,865 (HMDA). Total loan costs are the lender and settlement-service charges of the Closing Disclosure; transfer taxes and prepaid items come on top.

Is there a transfer tax when you buy a home in Modesto?

California has no state transfer tax. Counties may charge $0.55 per $500 of value under the Documentary Transfer Tax Act, and cities such as Los Angeles add their own, with Measure ULA adding 4% or 5.5% on very high-priced sales.

Is it cheaper to rent or buy in Modesto?

It depends on your mortgage rate, down payment and how long you stay. As a benchmark, the median value of owner-occupied homes in Modesto ($442,700) equals 21.8 years of the median gross rent ($1,690 a month), both from Census ACS 2020-2024.

What natural hazards affect home insurance in Modesto?

Across California, the main hazards for home insurance are earthquake, wildfire, flood and landslide, and the insurer of last resort is California FAIR Plan. A standard California homeowners policy does not cover earthquake damage; insurers must offer earthquake coverage (Insurance Code 10081), and the FAIR Plan sells limited fire coverage up to $3 million for residential policyholders.

Run your own numbers: rent vs buy calculator · closing costs calculator.

California rules that apply in Modesto

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Sources

California · All states · Federal guides