Mortgage Rates in Kokomo, IndianaMarch 2026

Updated March 2026 | Based on Kokomo market data and regional lending conditions

30-Year Fixed
6.75%
15-Year Fixed
5.99%
Median Home Price
$115,000
Est. Monthly Payment
$678

Kokomo is a growing city in Indiana with a population of 58,066. The current 30-year fixed mortgage rate in Kokomo is 6.75%, which is 0.1% above the national average. With a median home price of $115,000 and a 20% down payment of $23,000, homebuyers can expect a monthly principal and interest payment of approximately $597.

Current Mortgage Rates in Kokomo, IN

Below are the current average mortgage rates available in the Kokomo area as of March 2026. Rates vary by lender, credit score, and loan-to-value ratio. Use our free calculator above to see your personalized estimate.

Loan TypeRateNational AvgDifference
30-Year Fixed6.75%6.65%+0.1%
15-Year Fixed5.99%5.89%+0.1%
5/1 ARM6.25%6.15%+0.1%
FHA6.35%6.25%+0.1%
VA6.15%6.05%+0.1%
Jumbo6.95%6.85%+0.1%

Kokomo Housing Market Overview

The Kokomo housing market offers relatively affordable housing compared to many major cities. The median household income in Kokomo is $42,250, and the cost of living index is 78.5 (national average = 100). Based on the 28% affordability rule, the median income in Kokomo is sufficient to afford the median-priced home.

Population
58,066
Median Income
$42,250
Property Tax Rate
0.85%
Cost of Living
78.5
Down Payment (20%)
$23,000
Income Needed
$29,057

Monthly Payment Breakdown for Kokomo

Based on the median home price of $115,000 with 20% down ($23,000), here is what you can expect to pay monthly in Kokomo:

Principal & Interest (30-yr at 6.75%)$597
Property Tax$81
Estimated Insurance$29
Total Estimated Monthly$707

15-Year vs. 30-Year Mortgage in Kokomo

Choosing a 15-year mortgage in Kokomo at 5.99% instead of a 30-year at 6.75% would save you $75,240 in total interest over the life of the loan. However, your monthly payment would be $776 instead of $597 — an increase of $179 per month.

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Frequently Asked Questions About Mortgages in Kokomo

What are the current mortgage rates in Kokomo, IN?

As of March 2026, the average 30-year fixed mortgage rate in Kokomo, Indiana is 6.75%, while the 15-year fixed rate is 5.99%. FHA loans average 6.35% and VA loans 6.15%. These rates are 0.1% above the national average of 6.65%.

How much is a monthly mortgage payment in Kokomo?

Based on the median home price of $115,000 with 20% down, the estimated monthly mortgage payment in Kokomo is $597 for principal and interest. Including property taxes of $81/month, the total monthly housing cost is approximately $678.

What income do I need to buy a home in Kokomo?

Using the 28% rule, you would need an annual income of approximately $29,057 to afford the median-priced home in Kokomo at $115,000. The median household income in Kokomo is $42,250. The median income is currently sufficient to meet this threshold.

Is Kokomo a good place to buy a home in 2026?

Kokomo offers a below-average cost of living with a cost of living index of 78.5 (national average = 100). The property tax rate in Indiana is 0.85%, which is near the national average. Kokomo has a population of 58,066 and offers a very affordable lifestyle.

Mortgage Rates in Other Indiana Cities

Indianapolis, IN
6.75% | $225,000
Fort Wayne, IN
6.75% | $175,000
Evansville, IN
6.75% | $145,000
South Bend, IN
6.75% | $135,000
Carmel, IN
6.75% | $415,000

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Last updated: March 2026. Rates are approximate averages based on regional lending data for the Kokomo, Indiana area. Individual rates may vary by lender, credit score, loan amount, and other factors. Use our free calculator for a personalized estimate.