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Kentucky vs South Carolina:
Mortgage & Housing Costs

Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Kentucky and South Carolina. Updated for 2026.

MetricKentuckySouth Carolina
Median Home Price$210K$305K
Property Tax Rate0.83%0.57%
Avg Closing Costs$3K$4K
Closing Cost %1.4%1.3%
Transfer Tax0.1%0.37%
Homeowners Insurance$2,400/yr$2,600/yr
First-Time Buyer Program
KHC Regular DAP
Up to $6,000 repayable loan
SC Housing Palmetto Home
Up to $8,000 forgivable
Verdict

Kentucky wins 4 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $210K and lower overall costs, Kentucky offers meaningful savings compared to South Carolina. Both states offer first-time buyer programs — explore the state pages for full details.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.

Kentucky
Home Price$210,000
Down Payment (10%)$21,000
Loan Amount$189,000
Monthly P&I$1,195
Monthly Property Tax$145
Monthly Insurance$200
Monthly PMI$79
Total PITI$1,619/mo
Annual property tax: $1,743
South Carolina
Home Price$305,000
Down Payment (10%)$30,500
Loan Amount$274,500
Monthly P&I$1,735
Monthly Property Tax$145
Monthly Insurance$217
Monthly PMI$114
Total PITI$2,211/mo
Annual property tax: $1,738

The monthly payment difference is $592/month — thats $7,104/year or $213K over the life of a 30-year loan. Buying in Kentucky is the more affordable option based on median home prices with identical loan terms.

Income Needed to Buy

Based on the 28% debt-to-income rule — your monthly housing payment should not exceed 28% of gross monthly income.

Kentucky
$69K/yr
minimum household income
South Carolina
$95K/yr
minimum household income

To afford the median home in South Carolina, you need a household income of approximately $95K/year. In Kentucky, you need $69K/year — less by $25K/year. That $25K income gap means Kentucky is accessible to a significantly wider range of households.

Which State Is Right for You?

Kentucky offers meaningfully lower home prices than South Carolina, with median prices running 31% less ($95K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of South Carolina may find Kentucky far more accessible, particularly when combined with local down payment assistance programs.

Property tax rates are similar in both states (Kentucky: 0.83%, South Carolina: 0.57%), so taxes shouldn't be the deciding factor in your relocation decision. Instead, focus on differences in home prices, insurance costs, and state-specific programs. Both states collect roughly comparable property tax revenue relative to home values.

Both states offer down payment assistance for first-time buyers. Kentucky's KHC Regular DAP provides Up to $6,000 repayable loan, while South Carolina's SC Housing Palmetto Home offers Up to $8,000 forgivable. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.

Key Takeaway

The bottom line: Kentucky homes cost $95K less than South Carolina on average. That translates to roughly $592 less per month in total housing costs if you choose Kentucky. For most buyers, this price gap is the single biggest factor — it affects your loan size, monthly payment, and how quickly you build equity.

Compare Other States

Kentucky vs AlabamaKentucky vs ArkansasKentucky vs FloridaSouth Carolina vs AlabamaSouth Carolina vs AlaskaSouth Carolina vs Arizona

Frequently Asked Questions

Is it cheaper to buy a home in Kentucky or South Carolina?
Kentucky is cheaper overall. The median home costs $210K compared to $305K in South Carolina, and the total monthly PITI payment is $1,619 versus $2,211. That works out to $592 less per month or $7,104 less per year in Kentucky.
How much more are property taxes in Kentucky vs South Carolina?
Kentucky has a property tax rate of 0.83% compared to 0.57% in South Carolina. On the median home, that means Kentucky homeowners pay approximately $1,743/year in property taxes versus $1,738/year in South Carolina — a difference of $5/year.
Which state has better first-time buyer programs, Kentucky or South Carolina?
Kentucky offers the KHC Regular DAP (Up to $6,000 repayable loan), while South Carolina has the SC Housing Palmetto Home (Up to $8,000 forgivable). Both programs aim to reduce upfront costs for first-time buyers. Eligibility depends on income limits, purchase price caps, and other criteria set by each state's housing finance agency.

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