Missouri Home Loans & Mortgage Rates
Uniform $541,287 FHA limit across all 114 counties, MHDC 4% forgivable grant DPA, no state transfer tax, and exceptional Midwest affordability from Kansas City to St. Louis.
Median Price
$265,000
YoY Change
+4.5%
Days on Market
48 days
Market
2.8 months
Missouri is one of the most affordable states for homeownership in America, anchored by two major metros that punch well above their weight economically. Kansas City and St. Louis combine Fortune 500 headquarters, world-class healthcare, and growing tech sectors with home prices that remain remarkably accessible. The statewide median sits around $265,000.
Jackson County (Kansas City core) has a median around $250,000. Johnson County (suburban KC, Overland Park is in Kansas) proximity drives some areas higher. Clay County approximately $270,000. St. Louis County runs about $260,000 with enormous variation from $150,000 neighborhoods to $500,000+ suburbs like Clayton, Ladue, and Kirkwood. The City of St. Louis (independent city, separate from the county) has a median around $195,000, representing one of the best value plays in any major metro. Springfield/Greene County approximately $230,000. Columbia/Boone County about $275,000 (university town). Rural Missouri commonly under $175,000.
Missouri’s FHA limits are uniform at the $541,287 baseline across all 114 counties and the independent City of St. Louis. No high-cost designations anywhere. At Missouri price points, FHA coverage is more than double what most buyers need.
The Missouri Housing Development Commission (MHDC) runs the First Place and Next Step programs offering competitive rates plus up to 4% DPA as a forgivable grant. The combination of affordable prices, generous FHA headroom, and forgivable DPA makes Missouri one of the easiest states to enter homeownership.
2026 Loan Limit Takeaways
100% uniform at $541,287. Zero variation across all of Missouri. At a $265,000 median, the FHA limit is more than double what most buyers need. Even in the priciest suburban pockets, FHA provides massive headroom. This uniformity simplifies the buying process statewide.
Down Payment Assistance Notes
MHDC’s 4% forgivable grant is one of the best DPA structures in the country. On a $265,000 purchase with FHA, that is approximately $10,100 in grant assistance, covering the entire 3.5% down payment ($9,275) with funds left for closing costs. The fact that it is a true GRANT (forgiven after 5 years) rather than a deferred loan makes it exceptionally valuable. Available statewide through certified lenders.
Closing Costs in Missouri
Missouri has low closing costs with minimal transfer taxes.
No State Transfer Tax: Missouri does not impose a state real estate transfer tax. This is a significant savings vs. neighboring Illinois (0.10-1.05%) and Kansas.
Documentary Stamp Tax: Some Missouri counties charge a documentary stamp tax on deeds, but amounts are minimal (typically $0.50-$1.50 per $500 of consideration). Not uniformly applied.
Title Company State: Missouri uses title companies for closings. Attorney involvement is optional. Title insurance typically $800-$1,800.
Estimated Total Buyer Closing Costs: On a $265,000 purchase, expect approximately $4,000-$9,300 (1.5-3.5%). Missouri’s minimal transfer taxes and no attorney requirement make it one of the lowest-cost states for closing. Combined with MHDC’s 4% forgivable grant, buyers can often enter homeownership with very little out-of-pocket.
Property Taxes in Missouri
Missouri property taxes are below the national average and benefit from a unique assessment system.
Statewide Average: Approximately 0.91-0.99% effective rate. Well below national average.
Assessment System: Missouri assesses residential property at 19% of market value (not 100%). Tax rates are applied to the assessed value. Reassessment occurs every odd-numbered year. Assessment increases capped to prevent sudden jumps.
County Effective Rates (of market value): Jackson County (KC) approximately 1.10% (higher due to city/county combined levies). St. Louis County about 1.00%. St. Louis City approximately 1.25% (higher rate offset by lower values). St. Charles County about 0.95%. Greene County (Springfield) approximately 0.85%. Boone County (Columbia) about 0.90%.
On a $250,000 Kansas City home, expect approximately $2,750/year. In St. Louis County on a $260,000 home, about $2,600. In Springfield on a $230,000 home, approximately $1,955. Missouri’s property taxes are among the lowest of any major metro state.
Exemptions: Missouri Senior Property Tax Credit for 65+ with qualifying income. Disabled Veteran Property Tax Exemption. Circuit Breaker Tax Credit for renters and homeowners below income thresholds.
USDA Loan Eligibility in Missouri
Missouri has the most extensive USDA eligibility of any state this size.
Virtually all of rural Missouri qualifies outside KC, St. Louis, Springfield, Columbia, and Joplin metro cores. The Ozarks region (Taney, Stone, Barry, Douglas counties), the Bootheel (Dunklin, Pemiscot, New Madrid, Mississippi counties), northern Missouri (Macon, Linn, Sullivan, Adair, Putnam), and central Missouri between KC and St. Louis all have broad eligibility.
Commuter-friendly USDA areas include outer Cass and Ray counties (KC commuter), outer Lincoln and Warren counties (St. Louis commuter), areas south of Springfield along Highway 65, and many I-44 and I-70 corridor communities. Lake of the Ozarks area has USDA eligibility in surrounding counties.
MO Loan Limits by County
2026 FHA and conforming loan limits for major Missouri counties.
| County | FHA Limit (1-unit) | Conforming Limit | High-Cost |
|---|---|---|---|
| Boone County (Columbia) | $541,287 | $832,750 | No |
| Buchanan County (St. Joseph) | $541,287 | $832,750 | No |
| Cape Girardeau County | $541,287 | $832,750 | No |
| Cass County (Belton/Raymore) | $541,287 | $832,750 | No |
| Christian County (Nixa/Ozark) | $541,287 | $832,750 | No |
| City of St. Louis | $541,287 | $832,750 | No |
| Clay County (Liberty/Gladstone) | $541,287 | $832,750 | No |
| Cole County (Jefferson City) | $541,287 | $832,750 | No |
| Greene County (Springfield) | $541,287 | $832,750 | No |
| Jackson County (Kansas City) | $541,287 | $832,750 | No |
| Jasper County (Joplin) | $541,287 | $832,750 | No |
| Jefferson County (Arnold) | $541,287 | $832,750 | No |
| Platte County (KC North) | $541,287 | $832,750 | No |
| St. Charles County | $541,287 | $832,750 | No |
| St. Louis County | $541,287 | $832,750 | No |
Down Payment Assistance in Missouri
Programs from Missouri Housing Development Commission (MHDC) and local agencies.
MHDC First Place Loan Program
Forgivable Grant + Below-Market Rate Mortgage
MHDC First Place Loan Program
First-time buyers and qualified veterans receive a 30-year fixed-rate mortgage at below-market rates plus up to 4% of the loan amount as a forgivable cash assistance grant. The grant is forgiven after 5 years of continuous owner-occupancy. 640 credit minimum. Homebuyer education required. Must use MHDC-certified lender. On a $265,000 purchase, approximately $10,100 in grant assistance covering the full FHA down payment.
Amount
Up to 4% of loan amount as forgivable grant
Income Limit
Varies by county and household size
Eligible Loans
FHA, VA, USDA, Conventional
MHDC Next Step Program
Forgivable Grant + Below-Market Rate Mortgage
MHDC Next Step Program
Available to both first-time and repeat buyers who may be outside First Place income limits. Same 4% forgivable grant structure with 5-year forgiveness. Higher income limits. Same below-market rate 30-year fixed mortgage. One of the few states offering substantial grant-style DPA to repeat buyers.
Amount
Up to 4% of loan amount as forgivable grant
Income Limit
Higher limits than First Place
Eligible Loans
FHA, VA, USDA, Conventional
Springfield DPA Program
Silent Second Mortgage (0% interest)
Springfield DPA Program
Up to $9,000 as a silent second mortgage at 0% interest with no monthly payments. First-time buyers. Must repay full amount when home stops being primary residence. Good supplement in Springfield's affordable $230,000 market.
Amount
Up to $9,000
Income Limit
$45,650 single / up to $75,650 for 6-person household
Eligible Loans
FHA, Conventional
Closing Costs & Taxes in Missouri
Transfer Taxes
No state real estate transfer tax. Minimal documentary stamp tax in some counties ($0.50-$1.50 per $500). Significant savings vs. neighboring Illinois.
Closing Notes
Title company state — attorney involvement optional. Title insurance $800-$1,800. Budget 1.5-3.5% of purchase price for buyer closing costs. Missouri's minimal transfer taxes and no attorney requirement make it one of the lowest-cost states for closing.
Property Tax Rate
State average: 0.91-0.99%
Missouri Senior Property Tax Credit for 65+ with qualifying income. Disabled Veteran Property Tax Exemption. Circuit Breaker Tax Credit for renters and homeowners below income thresholds.
USDA Eligible Areas in Missouri
Among the most extensive USDA eligibility of any state. Virtually all rural Missouri qualifies outside KC, St. Louis, Springfield, Columbia, and Joplin metro cores. Ozarks region, Bootheel, northern Missouri, and central Missouri all broadly eligible. Commuter-friendly areas near KC and St. Louis also qualify.
Check USDA eligibility map →Missouri Mortgage FAQ
What are the FHA loan limits in Missouri for 2026?
Uniform $541,287 across all 114 counties and the City of St. Louis. Zero high-cost designations. At a $265,000 statewide median, FHA limits are more than double what most buyers need. This simplifies lending and ensures broad accessibility.
How does the MHDC First Place 4% grant work?
First-time buyers and qualified veterans receive up to 4% of the loan amount as a cash assistance GRANT, not a loan. Paired with a below-market rate 30-year fixed mortgage. The grant is forgiven after 5 years of owner-occupancy. On a $265,000 purchase, that is approximately $10,100 covering the full FHA down payment with funds remaining. 640 credit minimum. Homebuyer education required.
Does Missouri have a transfer tax?
No state transfer tax. Minimal documentary stamp tax in some counties. This is a significant savings vs. neighboring Illinois. Combined with affordable prices and MHDC's forgivable grant, Missouri has some of the lowest entry costs for homeownership in America.
How do Missouri property taxes compare?
Below national average at 0.91-0.99% effective rate. Missouri assesses residential property at 19% of market value, keeping bills low. On a $250,000 KC home expect about $2,750/year. Senior tax credit, disabled veteran exemption, and circuit breaker credit provide additional relief.
Is the City of St. Louis different from St. Louis County?
Yes. St. Louis is an independent city, separate from St. Louis County. The City has a much lower median ($195,000) than the County ($260,000). Both use the same $541,287 FHA limit. City buyers can leverage very low prices with MHDC DPA for near-zero out-of-pocket purchases.
Can repeat buyers use MHDC programs?
Yes. The Next Step Program is available to both first-time and repeat buyers, offering the same 4% forgivable grant structure with slightly higher income limits than First Place. This makes Missouri one of the few states offering substantial grant-style DPA to repeat buyers.
Are there military benefits for Missouri homebuyers?
Yes. Missouri is home to Fort Leonard Wood and Whiteman AFB. VA loans offer zero down with no loan limit. MHDC First Place is available to qualified veterans regardless of first-time buyer status. Missouri's affordable prices make VA zero-down purchases extremely accessible.
Are USDA loans available in Missouri?
Extensively. Missouri has among the most USDA-eligible territory of any state. Virtually all rural areas qualify, including many commuter communities near KC and St. Louis. Zero-down USDA financing combined with Missouri's sub-$200,000 rural prices makes homeownership achievable with minimal cash.