Kentucky Mortgage Guides 2026
This complete Kentucky mortgage guide covers FHA loan limits across all 120 counties, Kentucky Housing Corporation down payment assistance, USDA rural loans, VA resources for Kentucky’s veteran and Fort Campbell communities, and a full closing cost breakdown — all in one place.
Everything You Need for a Kentucky Home Purchase
Six in-depth guides covering every aspect of getting a mortgage in Kentucky — from loan program selection to what you’ll pay at closing.
Kentucky Mortgage Guide
FHA and conforming loan limits by county, loan programs, KHC assistance, property taxes, and the 2026 Kentucky housing market.
Read guide →Kentucky First-Time Home Buyer
Kentucky Housing Corporation programs, down payment assistance, the Shared Appreciation Mortgage, and income and purchase price limits.
Read guide →Kentucky FHA Loan Requirements
2026 FHA limits for all 120 Kentucky counties, credit and down payment minimums, and mortgage insurance premiums.
Read guide →Kentucky VA Loan Requirements
VA entitlement, the funding fee table and exemptions, and resources for Kentucky’s veteran and active-duty communities.
Read guide →Kentucky USDA Loans
Zero-down rural financing, FY2026 income limits by area, guarantee fees, and how to check property eligibility.
Read guide →Kentucky Closing Costs
Kentucky’s transfer tax, county clerk recording fees, typical buyer line items, and how to reduce what you pay at closing.
Read guide →2026 Kentucky Mortgage Snapshot
FHA Loan Limits (2026)
- All 120 Kentucky counties: $541,287 — the 2026 national floor
- Includes Jefferson (Louisville), Fayette (Lexington), and the northern Kentucky counties
- No Kentucky county is designated high-cost for CY2026
- Conforming limit is $832,750 statewide. Verify any county with HUD’s lookup tool.
Down Payment Assistance
- KHC Down Payment Assistance: up to $12,500, in $100 increments
- Structured as a second mortgage, repayable over a 15-year term
- Shared Appreciation Mortgage: up to 25% of price, zero interest, deferred — first-time buyers, new construction only
- Available to KHC first-mortgage borrowers who meet purchase price and income limits
Property Taxes
- Median effective rate about 0.75%
- Median real estate taxes paid: $1,544 on a median home value of $205,600
- Figures are statewide medians from the 2024 ACS 5-year estimates, not an average rate
- Rates vary by county, city, and school district
Closing Costs
- Transfer tax: $0.50 per $500 of value — about 0.1%, and the seller pays it
- County clerk recording: $50 for a deed, $80 for a mortgage
Buying or Refinancing in Kentucky?
Kentucky has a median effective property tax rate of about 0.75% and a state transfer tax of $0.50 per $500, and every county sits at the national FHA floor — which makes program selection, not loan limits, the decision that matters most here.
- ✓ Check KHC down payment assistance and current limits at kyhousing.org
- ✓ Confirm your county’s 2026 FHA limit with HUD’s lookup tool
- ✓ Compare FHA vs. conventional using our loan program guides
- ✓ Estimate your total cash to close with our closing cost guide
No obligation · Educational first
Talk to a Kentucky Mortgage Advisor
Have questions about buying or refinancing in Kentucky? A licensed mortgage advisor can walk you through your loan options, assistance programs and costs, with no obligation.
Speak to a Mortgage Advisor