Conventional Loans in Kansas City

2026 Conforming Loan Limits for Missouri and Kansas

To qualify as a “Conventional” loan, the amount must fall under the conforming limits. For 2026, the limit for single-family homes in the entire Kansas City Metro (including Jackson, Johnson, Clay, Platte, and Wyandotte counties) has increased to reflect local market growth.

• 1-Unit Property: $832,750
• 2-Unit Property: $1,066,150
• 3-Unit Property: $1,288,700
• 4-Unit Property: $1,601,550

*Loans exceeding these amounts are classified as Jumbo Loans and may require different down payment structures.

2026 Kansas City Neighborhood Market Brief

As of January 2026, the Kansas City metro is transitioning from the “inventory squeeze” of previous years to a more balanced, yet highly neighborhood-specific, market. In Johnson County, demand remains intense, with roughly 62% of homes going under contract in under 30 days. Borrowers in cities like Overland Park should note that while baseline 2026 property taxes face upward pressure, the county has launched an expanded 2026 Property Tax Relief Program for residents with homes appraised under $500,000.

Operational speed is currently a critical edge for conventional offers. Local appraisal turnaround times for standard single-family homes in the KC metro are averaging 7–10 business days, though high-demand pockets like Brookside or the Northland can occasionally stretch to 14 days during seasonal spikes. With inventory levels at a 1.5-month supply in Johnson County, a same-day pre-approval remains the minimum requirement to stay competitive in Olathe and Lee’s Summit.

Why KC Homebuyers Choose Metropolitan Mortgage for Conventional Financing

• PMI Cancellation: Unlike FHA loans, Private Mortgage Insurance (PMI) can be cancelled once you reach 20% equity, saving you thousands over the life of the loan.
• Low Down Payment: First-time buyers in Kansas City can qualify with as little as 3% down.
• Competitive Edge: In hot markets like Lee’s Summit or Olathe, sellers often prefer conventional offers because they typically involve fewer government-mandated inspection hurdles.

Why KC Sellers Prefer Conventional Offers

In highly competitive pockets like Brookside, The Northland, and Johnson County, sellers often favor conventional offers over FHA or VA loans. This is because conventional loans typically have fewer government-mandated property inspection requirements, leading to a smoother closing in hot markets like Lee’s Summit or Olathe.

Conventional vs. FHA: At a Glance

Kansas City Conventional Loan Requirements

To secure the most favorable interest rates in the current market, borrowers should focus on these three eligibility factors:

1. Credit Health

While the minimum score is 620, conventional pricing is “tiered.” The higher your score, the lower your monthly PMI and interest rate will be.

2. Debt-to-Income (DTI)

Typically, your total monthly debt payments (including the new mortgage) should not exceed 45% of your gross monthly income. We do have specialized programs that may allow for a DTI up to 50% with compensating factors.

3. Property Type

Conventional loans can be used for primary residences, second homes, or investment properties throughout Missouri and Kansas.