# Kansas mortgages: forgivable buyer loans, property tax and rural guarantees

> Kansas mortgage numbers: a 0% Kansas Housing loan of up to 20% of the price, 1.25% effective property tax, no transfer tax and the cost of a median home.

URL: https://mail.mortgage-math-us.com/location/kansas/  
Last reviewed: 2026-10-29 · By the MortgageMath US Editorial team

## Quick answer

The median Kansas home is worth $238,700 and costs about **$1,918 a month** with 10% down at the 7.24% national average rate, including property tax at 1.25% of value. Income-qualified first-time buyers outside Johnson County and the largest cities can borrow up to 20% of the price at 0% from Kansas Housing, forgiven after 10 years in the home. Kansas has no state real estate transfer tax.

## Key facts

| Fact | Value | Source | As of |
|---|---|---|---|
| Median home value in Kansas | $238,700 | [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25077?g=040XX00US20) | 2024 ACS 1-year |
| Median household income | $75,514/yr | [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B19013?g=040XX00US20) | 2024 ACS 1-year |
| Effective property tax rate | 1.25% | [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25103?g=040XX00US20) | 2024 ACS 1-year |
| Kansas Housing 0% loan, up to (share of price) | 20% | [Kansas Housing Resources Corporation: First Time Homebuyer fact sheet](https://kshousingcorp.org/wp-content/uploads/2026/03/FTHB-Fact-Sheet-3-19-26.pdf) | Mar 19, 2026 |
| Forgiven after | 10 years | [Kansas Housing Resources Corporation: First Time Homebuyer fact sheet](https://kshousingcorp.org/wp-content/uploads/2026/03/FTHB-Fact-Sheet-3-19-26.pdf) | Mar 19, 2026 |
| Income limit (share of area median) | 80% | [Kansas Housing Resources Corporation: First Time Homebuyer fact sheet](https://kshousingcorp.org/wp-content/uploads/2026/03/FTHB-Fact-Sheet-3-19-26.pdf) | Mar 19, 2026 |
| Rural home loan guarantee, up to | $100,000 | [Kansas Housing Resources Corporation: Home Loan Guarantee for Rural Kansas](https://kshousingcorp.org/homeowners/home-loan-guarantee-for-rural-kansas/) | Oct 29, 2026 |

## Kansas Housing’s First Time Homebuyer loan

Kansas Housing Resources Corporation (KHRC) funds its First Time Homebuyer program with federal HOME money and offers it through participating lenders. You take a regular first mortgage at a market rate, and KHRC adds a soft second mortgage:

- **Amount.** A 0% loan of up to 20% of the purchase price (KHRC lists two tiers), for the down payment and closing costs.
- **Forgiveness.** No monthly payments. The loan is forgiven if you stay in the home for 10 years; sell sooner and you repay the unforgiven part.
- **Income.** Household income at or below 80% of the area median income for your county and household size.
- **Your money.** At least 1% of the price from your own funds; inspection costs count toward it, and a gift can help with the rest of the purchase.
- **Where.** Homes outside Johnson County and outside the city limits of Kansas City, Lawrence, Topeka and Wichita.
- **Which homes.** Existing homes, or new homes once the certificate of occupancy is issued. The home must pass inspection, so fixer-uppers generally don’t work unless the seller finishes repairs first.

There is no program minimum credit score, but you need to qualify for the first mortgage. A HUD-approved housing counselor can help if your credit needs work; the [homebuyer education guide](https://mail.mortgage-math-us.com/first-time-buyers/homebuyer-education/) explains what counseling covers.

## The payment with and without the Kansas Housing loan

> **Worked example: $238,700 home (Kansas median value), 30-year fixed at 7.24%**
>
> | | 10% down conventional | 1% of your own + 20% KHRC loan |
> |---|---:|---:|
> | Your cash toward the price | $23,870 | $2,387 |
> | First mortgage | $214,830 | $188,573 |
> | Principal and interest | $1,464 | $1,285 |
> | Property tax at 1.25% | $249 | $249 |
> | Insurance at $4.90 per $1,000 (Freddie Mac national average) | $97 | $97 |
> | PMI | $107 | $0 |
> | **Monthly total** | **$1,918** | **$1,631** |
> 
> With the KHRC loan, the first mortgage is under 80% of the price, so PMI generally isn’t required, and the monthly cost is $286 less than the 10% down option. The $47,740 second mortgage has no payment and disappears after 10 years in the home.

The program is for buyers under the income limit and outside the largest metros, so your own price and figures will differ. Plug them into the [payment calculator](https://mail.mortgage-math-us.com/tools/mortgage-payment-calculator/?price=239000&down=10&tax=1.25&state=KS).

## Property tax in Kansas

Kansas’s effective property tax rate of 1.25% is above the national ratio of 0.89%, the 11th-highest of the 50 states and DC. The median Kansas homeowner pays $2,983 a year. On a home at the median value, the state ratio means about $2,984 a year against $2,124 at the US ratio — $72 a month more in escrow. County, city, school district and other local levies set the real bill, so check the last tax statement for any home you consider, and read [how property taxes change your payment](https://mail.mortgage-math-us.com/blog/how-property-taxes-change-your-payment/).

## Rural Kansas and the Home Loan Guarantee

Building or renovating in a small Kansas town can run into an appraisal gap: the home costs more to build than nearby sales say it is worth, so a lender won’t lend the full cost. KHRC’s Home Loan Guarantee for Rural Kansas lets lenders in rural counties lend into that gap. KHRC guarantees the part of the loan above 80% of the appraised value, on loans up to 125% of appraised value, with each guarantee capped at $100,000.

> **Worked example: KHRC’s own illustration**
>
> A home appraises at $200,000 and the loan is $250,000. The loan is within 125% of value ($250,000), so KHRC guarantees everything above $160,000: **$90,000**.

The guarantee goes to the lender, not to you, so ask local banks and credit unions whether they participate before you plan a rural build or purchase.

## What Kansas incomes buy

The median Kansas home is below the US median — the 9th-lowest value of the 50 states and DC — and the median household income of $75,514 is below the national figure. Keeping housing under Freddie Mac’s 30% of gross income gives $1,888 a month, enough for about **$235,000** with 10% down at today’s average rate — $3,700 less than the median home value. Owning the median home takes about $76,700 a year in income. See your own range in the [affordability calculator](https://mail.mortgage-math-us.com/tools/affordability-calculator/?state=KS&income=75514), or compare with renting in the [rent vs buy calculator](https://mail.mortgage-math-us.com/tools/rent-vs-buy-calculator/?state=KS&price=239000&rent=1079).

## Kansas closing costs

Kansas has no state real estate transfer tax, so closing costs come from lender fees, title insurance, recording fees, prepaid interest and escrow deposits. The CFPB’s typical range of 2%–5% of the price is $4,774–$11,935 on the median home. The KHRC loan can cover closing costs as well as the down payment. Get a state estimate from the [closing cost calculator](https://mail.mortgage-math-us.com/tools/closing-cost-calculator/?state=KS) and compare it line by line with your Loan Estimate.

## Frequently asked questions

### Does Kansas have first-time home buyer assistance?

Yes. Kansas Housing Resources Corporation’s First Time Homebuyer program offers a 0% loan of up to 20% of the purchase price for down payment and closing costs, forgiven after 10 years in the home, for households at or below 80% of area median income.

### Where can I use the Kansas Housing First Time Homebuyer program?

Anywhere in Kansas except Johnson County and the city limits of Kansas City, Lawrence, Topeka and Wichita. The home must be your primary residence and pass inspection.

### What is the property tax rate in Kansas?

Census data put the median Kansas homeowner’s bill at $2,983 a year, about 1.25% of median home value, compared with 0.89% nationally.

### Does Kansas have a real estate transfer tax?

No. Kansas has no state transfer tax, so closing costs are mainly lender, title, recording and escrow charges.

### What is the Home Loan Guarantee for Rural Kansas?

A KHRC guarantee that lets lenders in rural counties lend more than a home appraises for. It covers the part of the loan above 80% of appraised value, on loans up to 125% of value, capped at $100,000 per loan.

### How much income do you need to buy a home in Kansas?

The median $238,700 home with 10% down costs about $1,918 a month at today’s average rate. Keeping that under 30% of gross income takes about $76,700 a year.

## Sources

- [Freddie Mac Primary Mortgage Market Survey](https://www.freddiemac.com/pmms) — 30-year fixed rate, national weekly average (Week of Oct 29, 2026)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25077?g=040XX00US20) — Median value of owner-occupied homes (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B19013?g=040XX00US20) — Median household income (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25103?g=040XX00US20) — Effective property tax rate (median taxes ÷ median home value); Median real estate taxes paid by homeowners (2024 ACS 1-year)
- [Freddie Mac Research](https://www.freddiemac.com/research/insight/homeowners-insurance-costs) — Average homeowners insurance premium per $1,000 of home value (2023 data)
- [Freddie Mac My Home](https://myhome.freddiemac.com/buying/breaking-down-pmi) — Typical PMI cost, low end; Typical PMI cost, high end (Oct 28, 2026)
- [Kansas Housing Resources Corporation: First Time Homebuyer fact sheet](https://kshousingcorp.org/wp-content/uploads/2026/03/FTHB-Fact-Sheet-3-19-26.pdf) — Kansas Housing First Time Homebuyer 0% forgivable loan, up to (share of the purchase price); Kansas Housing First Time Homebuyer: minimum buyer contribution from own funds (share of the sale price); Kansas Housing First Time Homebuyer loan is forgiven if you stay in the home (Mar 19, 2026)
- [Kansas Housing Resources Corporation: Home Loan Guarantee for Rural Kansas](https://kshousingcorp.org/homeowners/home-loan-guarantee-for-rural-kansas/) — Kansas Home Loan Guarantee for Rural Kansas, cap per guarantee; Kansas Home Loan Guarantee covers loans up to (share of appraised value); Kansas Home Loan Guarantee covers the part of the loan above (share of appraised value) (Oct 29, 2026)
- [Freddie Mac My Home](https://myhome.freddiemac.com/blog/homebuying/how-much-can-you-afford) — Freddie Mac guidance: housing costs below this share of gross income (Jan 22, 2026)
- [CFPB](https://www.consumerfinance.gov/owning-a-home/prepare/figure-out-how-much-you-want-to-spend/) — Typical closing costs, low end (share of purchase price); Typical closing costs, high end (share of purchase price) (Oct 28, 2026)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25103?g=010XX00US) — Effective property tax rate (median taxes ÷ median home value) (2024 ACS 1-year)
- [Kansas Housing Resources Corporation: First Time Homebuyer](https://kshousingcorp.org/first-time-homebuyer/)
- [KHRC First Time Homebuyer fact sheet](https://kshousingcorp.org/wp-content/uploads/2026/03/FTHB-Fact-Sheet-3-19-26.pdf)
- [KHRC: Home Loan Guarantee for Rural Kansas](https://kshousingcorp.org/homeowners/home-loan-guarantee-for-rural-kansas/)

_General information, not financial advice._