Mortgage Rates in London, Kentucky — March 2026
Updated March 2026 | Based on London market data and regional lending conditions
London is a growing city in Kentucky with a population of 8,126. The current 30-year fixed mortgage rate in London is 6.87%, which is 0.22% above the national average. With a median home price of $138,000 and a 20% down payment of $27,600, homebuyers can expect a monthly principal and interest payment of approximately $725.
Current Mortgage Rates in London, KY
Below are the current average mortgage rates available in the London 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 Type | Rate | National Avg | Difference |
|---|---|---|---|
| 30-Year Fixed | 6.87% | 6.65% | +0.22% |
| 15-Year Fixed | 6.08% | 5.89% | +0.19% |
| 5/1 ARM | 6.32% | 6.15% | +0.17% |
| FHA | 6.56% | 6.25% | +0.31% |
| VA | 6.31% | 6.05% | +0.26% |
| Jumbo | 7.12% | 6.85% | +0.27% |
London Housing Market Overview
The London housing market offers relatively affordable housing compared to many major cities. The median household income in London is $54,900, and the cost of living index is 80.3 (national average = 100). Based on the 28% affordability rule, the median income in London is sufficient to afford the median-priced home.
Monthly Payment Breakdown for London
Based on the median home price of $138,000 with 20% down ($27,600), here is what you can expect to pay monthly in London:
15-Year vs. 30-Year Mortgage in London
Choosing a 15-year mortgage in London at 6.08% instead of a 30-year at 6.87% would save you $92,520 in total interest over the life of the loan. However, your monthly payment would be $936 instead of $725 — an increase of $211 per month.
Calculate Your London Mortgage Payment
Use our free calculator to get a personalized estimate based on your loan amount, interest rate, and term.
Open Free CalculatorFrequently Asked Questions About Mortgages in London
What are the current mortgage rates in London, KY?
As of March 2026, the average 30-year fixed mortgage rate in London, Kentucky is 6.87%, while the 15-year fixed rate is 6.08%. FHA loans average 6.56% and VA loans 6.31%. These rates are 0.22% above the national average of 6.65%.
How much is a monthly mortgage payment in London?
Based on the median home price of $138,000 with 20% down, the estimated monthly mortgage payment in London is $725 for principal and interest. Including property taxes of $100/month, the total monthly housing cost is approximately $825.
What income do I need to buy a home in London?
Using the 28% rule, you would need an annual income of approximately $35,357 to afford the median-priced home in London at $138,000. The median household income in London is $54,900. The median income is currently sufficient to meet this threshold.
Is London a good place to buy a home in 2026?
London offers a below-average cost of living with a cost of living index of 80.3 (national average = 100). The property tax rate in Kentucky is 0.87%, which is near the national average. London has a population of 8,126 and offers a very affordable lifestyle.
Mortgage Rates in Other Kentucky Cities
Related Tools & Guides
Last updated: March 2026. Rates are approximate averages based on regional lending data for the London, Kentucky area. Individual rates may vary by lender, credit score, loan amount, and other factors. Use our free calculator for a personalized estimate.