Kentucky Mortgage Calculator: Estimate Your Monthly Payment

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Updated: January 18, 2024

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Kentucky is one of the most affordable states to own a home, with an average monthly cost of $1,003. The state has a population of 4.4 million people, and around 72.50% of residents were homeowners in 2020.

Several factors affect the state's homeownership rate. Kentucky's median house value is $148,400. Meanwhile, the state's average outstanding mortgage amount is $126,485. That is a $21,915 difference between the average mortgage balance and the cost of a home in Kentucky.

Mortgage payments vary depending on your down payment, loan terms and interest rate as well as additional costs such as taxes, insurance and homeowners association fees. The MoneyGeek Kentucky mortgage calculator can provide a holistic mortgage estimate based on your needs.


Start Here: Plug In Your Mortgage Factors

MoneyGeek's Kentucky mortgage payment calculator will give you an estimate of your monthly payment. MoneyGeek explains a few key factors to help you better understand how it's calculated.


Why and How to Use Our Mortgage Calculator

It's important to plan your finances carefully before making a home purchase to ensure you can afford it. MoneyGeek Kentucky's mortgage calculator can assist you in this process.

You may get a rough idea of your home loan expenses by providing information specific to your situation. The mortgage calculator in Kentucky allows you to compare offers from multiple lenders and choose which provides the best conditions. The data might also aid in determining what kind of home loan is best for you.

The ability to make well-informed decisions about purchasing a property is improved when you are aware of the processes to take and considerations to make. Here are the 12 most important factors to keep in mind while considering a mortgage.


Home Price:

Input the highest price you're willing to pay for a home or your desired loan amount.


Down Payment:

A down payment is usually required when buying a home. The cost varies by type and lender. Making a larger down payment reduces monthly costs.


Interest Rate:

This is the annual interest rate charged by lenders. You can view rates on MoneyGeek's daily mortgage rates report.


Loan Terms:

This is the mortgage loan repayment period. The most common are 15 or 30 years.


Payments per Year:

Indicates how many times you'll pay per year. Monthly payments equal 12 yearly payments.


Property Tax:

The annual tax levied by the municipality on the purchase price of a dwelling. In Kentucky, the average annual property tax is $1,866.


HOA Fees:

You will be charged monthly fees for maintenance and amenities if you live in an HOA neighborhood.


Principal & Interest:

The total of your loan and the fees you owe the lender.


Monthly Payment:

The monthly amount due, including principal, interest, taxes and HOA fees.


Principal Payment:

Monthly principal payments reduce the mortgage balance.


Interest Payment:

The interest payment is the amount charged by the lender for the mortgage loan.


Total Cost with Interest:

The total amount due to the lender is based on all factors.

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Monthly mortgage payments vary depending on home price, area, loan type and lender. On average, monthly mortgages cost $1,003 per month in Kentucky. However, there are methods to lower your monthly payment. Here are some suggestions:

  • Make a larger down payment. Private mortgage insurance is often needed for borrowers who put down less than 20% of the purchase price. The purchase price of the home determines this amount.
  • Extend your loan. If a 15-year term's monthly payment is too expensive, you might request a 30-year term. While it increases interest payments, it reduces monthly costs.
  • Make extra payments. Extra principal payments may significantly reduce interest costs over time.
  • Buy a cheaper home. A more affordable home loan makes your monthly mortgage payment more affordable.

Next Steps: What to Do After You Have Estimated Your Mortgage Payments

Mortgages can be complex, particularly for first-time buyers. MoneyGeek gathered useful information to help you purchase a home. Start with these easy step-by-step instructions.

  1. Shop & Compare Rates - In Kentucky, several lenders provide services. The best option may differ from person to person. To find the best plan for you, shop around and understand Kentucky mortgage rates.
  2. Not Ready to Buy? - Consider your financial situation and circumstances when deciding whether to rent or purchase a home.
  3. Learn More - Your needs determine the best mortgage loan. Find out more about FHA loans, VA home loans and reverse mortgages to choose the best one for you.

Frequently Asked Questions About Mortgages in Kentucky

A borrower's DTI ratio is considered by lenders when making a mortgage loan. However, the amount you can afford will ultimately rely on how much you can pay based on your income and expenses.

In Kentucky, the average outstanding mortgage amount is $126,485.

Mortgage payments are lower when you put more money down. There may be a mandated rate, like 3% for Freddie Mac and Fannie Mae. If you can afford it, aim to pay at least 20%.

Most conventional loans require borrowers to buy private mortgage insurance if their down payment is less than 20%.

In Kentucky, the average annual property tax is $1,866.

Kentucky homeowners pay an average of $1,003 per month in mortgage payments. This is about $156 less than the national average mortgage payment.

The median home price in Kentucky is roughly $148,400.