Kentucky · KY

Kentucky Mortgage Calculator

Pre-filled for Kentucky: median home price $215,000, average property tax rate 0.78%. Adjust any slider to make it yours.

Kentucky housing at a glance

Median home price: $215,000
Effective property tax rate: 0.78% / yr
Annual property tax (median home): $1,677
Est. monthly tax escrow: $140
State income tax: Yes

Sources: regional housing data 2025 (median price), state assessor averages 2024–2025 (tax rate).

Buying a home in Kentucky

The median home price in Kentucky is around $215,000 and the effective property tax rate averages 0.78%of assessed value per year. Most lenders look for a debt-to-income (DTI) ratio under 43%, meaning your total monthly debt payments (including this mortgage) shouldn't exceed 43% of your gross income.

A 20% down payment on the median home in Kentucky is $43,000. Putting down at least 20% eliminates private mortgage insurance (PMI), which typically adds 0.3–1.5% of the loan amount per year to your monthly payment.

Transfer tax & closing costs in Kentucky

Kentucky charges $0.50 per $500 of consideration as a real estate transfer tax (paid by seller).

Beyond transfer taxes, total closing costs in Kentuckytypically range from 2–5% of the purchase price — including lender origination fees, title insurance, appraisal, and prepaid interest. On the median home that's roughly $4,300–$10,750.

Foreclosure & legal context

Foreclosure type: Judicial (court-supervised)
Security instrument: Mortgage
Deficiency liability: Recourse

Kentucky mortgage FAQ

What is the monthly mortgage payment for a median-priced home in Kentucky?: At the current 30-year fixed rate of ~6.81%, a $215,000 home in Kentucky with 20% down ($43,000) carries a principal-and-interest payment of ~$1,122/mo. Add property tax (~$140/mo at 0.78%) and homeowners insurance and your total is roughly $1,262/mo. Use the calculator above to adjust for your exact down payment and rate.
What is the property tax rate in Kentucky?: The effective statewide property tax rate in Kentucky averages 0.78% of assessed value per year. On a $215,000 home, that works out to roughly $1,677 per year ($140/mo). Individual county rates vary.
Does Kentucky have a state income tax?: Yes, Kentucky has a state income tax. This affects your net take-home pay and therefore your effective purchasing power — use our salary calculator to estimate what's left after tax.
What are the closing costs and transfer taxes in Kentucky?: Kentucky charges $0.50 per $500 of consideration as a real estate transfer tax (paid by seller).
What type of foreclosure does Kentucky use?: Kentucky uses judicial foreclosure, meaning a lender must file a lawsuit and obtain a court judgment before selling a property.

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