Killeen Entry-Level Homes: Affordability Check

What does an entry-level home cost in Killeen when the median price sits at $260,970 and mortgage rates are 7.32%? In September 2026, ALEX Intelligence analyzed the bottom quartile of sales to determine affordability for first-time buyers in this market. The median close price for entry-level homes was $260,970 across 36 closed sales. With a 30-year fixed rate at 7.32%, the principal and interest payment alone is approximately $1,434 per month based on a loan amount of $208,776. This calculation reflects the current cost of borrowing without including taxes or insurance. Buyers can reduce this monthly burden through buydowns. A 3-2-1 buydown costs a median of $9,708 (3.72% of the price) to lower the rate in year one, saving $398 monthly initially. A 2-1 buydown costs $4,932 (1.89% of the price), dropping the rate in the first year for a $272 monthly saving. The market shows 36 closed sales in September, with the median price up 1.1% from August but down 6.3% compared to September 2025. While inventory remains tight at 4.8 months of supply, these figures provide a baseline for calculating what buyers can afford today without projecting future rate changes or price movements. ALEX Intelligence estimate, not an appraisal. Want a closer look? Reply or call George at 713.918.9951 and we'll set up a showing. Coverage: most home sales in Killeen are listed in another MLS, which ALEX does not receive yet. The figures in this post count only sales listed in Unlock MLS (ABOR), so they describe part of the local market, not all of it. Data from Unlock MLS. Information deemed reliable but not guaranteed. Model outputs are ALEX Intelligence estimates, not appraisals. Read more Central Texas market data on the ALEX blog: https://alex-companies.com/blog