Author: Marcus Painter, Founder and Owner | Alpine Property Management Kansas City LLC Experience: 12+ years managing rental properties in Kansas City | 250+ properties currently managed Published: February 24, 2026 | Kansas City Metro
Quick Answer
In 2026, Jackson County offers better near term cash flow with lower purchase prices and average rents around $1,310 per month, while Johnson County commands higher rents averaging $1,547 in Overland Park with stronger long term appreciation. The right county for your portfolio depends entirely on your investment strategy and your tolerance for the regulatory uncertainty still playing out in Jackson County’s property tax environment.
Introduction
The question investors ask us most often at Alpine Property Management is not simply whether Kansas City is a good market. Most already know the answer to that. The question is which side of the state line delivers better returns in 2026. Johnson County, Kansas, and Jackson County, Missouri, are separated by a few miles of asphalt, but they represent meaningfully different investment propositions driven by distinct tax environments, rental demographics, appreciation trajectories, and regulatory climates.
Both counties sit within the same metropolitan economy. Both benefit from the same major employer announcements, from the Panasonic EV battery plant to expanded Google and Meta infrastructure investments that are reshaping Kansas City’s employment landscape. But the numbers that matter to a rental property investor diverge sharply once you move past the metro level and get into county specific data on purchase prices, property taxes, and legislative stability.
Having managed properties across both counties for over 12 years, we have seen firsthand how the same investment dollar performs very differently depending on which side of the state line a property sits. This analysis draws on current market data from RentCafe, Heartland MLS, and official county records to give out of state investors a clear picture of where returns are trending in 2026 and what the data actually means for your portfolio decisions.
What Do the Purchase Price and Rent Numbers Actually Say in 2026?
The foundational question in any county comparison is the rent to price ratio, because that ratio determines how much income a property generates relative to what you paid to acquire it.
In Jackson County, Missouri, the median home sale price reached $257,500 as of January 2026, representing a 3.8% year over year increase. Average sale prices landed at $304,952 for the same period, according to data from Metropolitan Mortgage Corporation’s local market reports. On the rental side, RentCafe data from January 2026 shows the average apartment rent in Kansas City, Missouri sitting at $1,310 per month, up 2.79% from $1,275 the prior year. The average rent across Jackson County as a whole comes in around $1,248, with the broadest rental price concentration between $1,001 and $1,500 per month.
Johnson County, Kansas, presents a substantially different picture. Average home sale prices in January 2026 hit $566,376, up a significant 10.5% from the prior year and roughly double the Jackson County average. Median prices within Johnson County cities range from $440,000 in Olathe to $490,000 in Overland Park and up to $580,000 in South Overland Park. Rental rates in Overland Park average approximately $1,547 per month according to RentCafe, with Olathe averaging $1,468 per month as of February 2026, representing a 5.38% annual increase. Lenexa averages around $1,454 monthly and Shawnee runs approximately $1,323.
The math here matters enormously. A $250,000 single family home in Jackson County generating $1,400 per month in rent hits close to a 0.56% rent to price ratio. A $450,000 home in Olathe generating $1,800 per month in rent lands at 0.40%. Neither market meets the classic 1% rule in 2026, which is common across well established metros, but Jackson County consistently delivers a more favorable rent to price ratio for investors who prioritize monthly cash flow over long term appreciation.
How Do Property Taxes Compare Between the Two Counties?
Property taxes are often the sleeper issue that can quietly erode returns for investors who do their analysis on purchase price and rent alone without accounting for the total cost of ownership. In 2026, the property tax story in both counties is complicated and evolving in different directions.
Jackson County, Missouri, is still working through the aftermath of a deeply controversial 2023 reassessment that saw the average property value jump roughly 30%, triggering tens of thousands of assessment appeals, a class action lawsuit, and ultimately the recall of County Executive Frank White. Under new County Executive Phil LeVota, Jackson County has capped residential assessment increases at 15% and is issuing automatic tax credits to affected property owners on their 2026, 2027, and 2028 bills. The average effective property tax rate in Jackson County runs approximately 1.19% of assessed fair market value, which is above the Missouri state average of 0.91%.
The critical nuance for investors is that while some property owners will receive credits on their 2026 bills, the tax burden is also being redistributed. Taxing jurisdictions may increase mill levies to compensate for reduced revenues, meaning the net impact varies significantly by neighborhood and school district. Investors acquiring properties in Jackson County in 2026 should conduct thorough due diligence on the specific parcel’s assessment history, pending credits, and local mill levy trends rather than relying on county level averages. Understanding what property taxes look like in Kansas City, Missouri is essential before any acquisition.
Johnson County, Kansas, carries the highest property taxes in the state of Kansas, with a median annual bill of approximately $4,221 according to current state data. The effective rate translates to roughly 1.27% of median home value. However, Johnson County’s 2026 market study analysis published by the official Johnson County government website projects that nearly 90% of residential properties will increase in value in 2026, with average residential value increases of 5 to 7%. The assessment environment is stable and predictable, without the contested reassessment disruption that continues to cloud Jackson County’s tax picture. Investors in Johnson County pay more in absolute tax dollars, but those taxes correspond to top rated schools, strong infrastructure, and the kind of tenant demographics that support premium rent and low vacancy.
| Factor | Jackson County, MO | Johnson County, KS |
|---|---|---|
| Median Home Sale Price (Jan 2026) | $257,500 | $566,376 (avg) |
| Avg Monthly Rent | $1,310 (KCMO) | $1,547 (Overland Park) |
| Effective Property Tax Rate | ~1.19% | ~1.27% |
| Median Annual Property Tax | ~$2,336 | ~$4,221 |
| YOY Rent Growth | +2.79% | +5.38% (Olathe) |
| YOY Home Value Change | +3.8% (median) | +10.5% (avg) |
| Assessment Environment | Unstable (credits 2026 2028) | Stable (5 7% projected increase) |
| Avg Days on Market (Jan 2026) | 52 | 53 |
What Kind of Tenant Profile Does Each County Attract?
Tenant demographics drive rental stability, and the two counties attract meaningfully different renter profiles that correspond directly to different investment risk and reward profiles.
Jackson County’s rental market is diverse, with approximately 41% of residents renting rather than owning. The tenant base is anchored by healthcare workers, government employees, educators, and the growing tech and professional services sector in the urban core. Neighborhoods like Lee’s Summit, Independence, and the urban Kansas City core each attract distinct renter profiles. Lee’s Summit leans toward working professionals and young families with dual incomes. The urban core near River Market and Crossroads draws younger renters in creative and tech fields. Independence offers a more affordably priced rental market with a broader range of income levels. The diversity of Jackson County’s tenant base is a strength for portfolio diversification but requires a more nuanced approach to tenant screening at the neighborhood level.
Johnson County’s renter population skews toward high income professional households, corporate transferees, and families prioritizing school district quality above most other factors. The Overland Park tech corridor, which includes major employers in financial services, insurance, and technology, creates consistent demand from professional tenants who pay premium rents and tend to stay longer. With only about 26% of Olathe households renting according to U.S. Census Bureau data cited by RentCafe, Johnson County is a fundamentally homeownership oriented market. That lower renter ratio is actually a positive signal for landlords because it means quality rentals face strong competition from well qualified tenants who value stability. The questions to ask before hiring a property manager in this type of market differ from those in a higher density rental market.
The implications for vacancy are significant. Johnson County’s professionally employed, income stable tenant base translates to lower turnover and stronger ability to absorb rent increases. Johnson County’s official 2026 market study projects occupancy in the low 90% range for multifamily and rental growth projected above 4% for the Overland Park tech corridor specifically. Jackson County’s broader tenant base can deliver solid occupancy numbers but requires more active management attention to maintain performance.
Where Is Appreciation Heading in Each County Through 2026 and Beyond?
Appreciation trajectory matters differently depending on how long you plan to hold a property. For investors with a three to five year horizon, near term rent to price ratios and cash flow are the dominant factors. For investors planning to hold a decade or longer, appreciation compounds in ways that can dramatically alter total returns.
Johnson County has demonstrated remarkably consistent appreciation over the long term. Average sale prices climbed from approximately $285,000 in early 2016 to over $566,000 at the start of 2026, representing roughly 99% appreciation over ten years. The Johnson County government’s own 2026 market study projects continued residential value increases of 5 to 7% for the year. Tight inventory at 1.7 months of supply, an 11.2% increase in closed sales in January 2026, and sellers receiving 97.4% of list price all point to a market that continues to move in favor of property owners. The I-35 corridor’s industrial strength, combined with the Overland Park tech ecosystem, provides structural demand that supports long term appreciation.
Jackson County has its own appreciation story, with median prices climbing from approximately $160,000 in early 2016 to over $300,000 in early 2026. That 88% appreciation over the same period is strong by most measures, though it runs below Johnson County’s trajectory. The January 2026 data showing median prices up 3.8% with pending sales increasing suggests buyer confidence remains solid despite the property tax turbulence. The supply of 2.2 months and sellers receiving 95.1% of list price indicate a market that still favors sellers. Investors who understand Kansas City’s broader real estate trajectory recognize that Jackson County’s long term value story is sound even if the near term tax environment requires careful navigation.
What Are the Landlord Law and Regulatory Differences Investors Need to Know?
Managing rental properties across state lines means navigating two distinct bodies of landlord tenant law, and the differences between Missouri and Kansas are material enough to affect how you structure leases, handle deposits, and respond to tenant issues.
Missouri property in Jackson County operates under the Missouri Revised Statutes landlord tenant framework. Missouri imposes a two month cap on security deposits for residential properties. Landlords must return deposits within 30 days of the tenant vacating. Kansas City, Missouri, additionally layers on its own ordinances, most notably Ordinance 231019, which governs tenant screening and limits the use of certain criminal history and rental history criteria in application decisions. Landlords operating in Kansas City, MO, must also comply with the Healthy Homes Rental Inspection Program. Understanding the difference between Kansas City, MO and Kansas City, KS landlord laws is the starting point for any cross border portfolio strategy.
Johnson County, Kansas, operates under the Kansas Residential Landlord and Tenant Act. Kansas allows security deposits up to one month’s rent for unfurnished properties and one and a half months for furnished units, and requires deposit return within 14 to 30 days of lease termination depending on the circumstances. Critically, Kansas does not have rent control, and neither does Missouri, which is an important baseline for any investor evaluating both markets. Kansas landlord tenant law is generally considered more landlord friendly by property management professionals, with clearer statutory frameworks and fewer local ordinance layers than what Kansas City, Missouri’s increasingly active municipal regulatory environment requires.
Which County Makes More Sense for Out of State Investors in 2026?
The honest answer is that both counties belong in a sophisticated Kansas City metro portfolio, but they serve different strategic roles. Very few out of state investors are best served by concentrating entirely in one county.
Johnson County is the right primary market for investors who prioritize lower management intensity, premium tenant quality, stable regulatory environments, and long term appreciation. The entry price point is higher and initial cash on cash returns are thinner at current interest rates. A $450,000 to $500,000 single family home in Olathe or Overland Park will not generate the same short term return as a $200,000 investment in Jackson County, but it also carries lower tenant turnover risk, stronger appreciation prospects, and a property tax environment that is transparent and predictable. For investors building a portfolio for generational wealth transfer or retirement income 15 to 20 years out, Johnson County’s appreciation trajectory and tenant stability are compelling.
Jackson County is the right market for investors who want better near term cash flow, lower capital requirements per property, and the ability to build a larger portfolio faster by acquiring multiple units at accessible price points. The rent to price ratio is more favorable, the entry point is lower, and the underlying metro economy supports long term fundamentals. The risks that require active management attention in Jackson County are the ongoing property tax assessment environment, a more complex local regulatory landscape, and a more diverse tenant income profile that requires consistent screening discipline. Finding the best Kansas City neighborhoods for out of state investors within each county is the next layer of analysis after settling on a county strategy.
For most remote investors entering the Kansas City market in 2026, a blended approach makes the most sense: one or two higher quality properties in Johnson County to anchor long term appreciation, combined with two or three cash flowing properties in Jackson County to generate near term income and portfolio depth. The key is having a property management partner with active operations across both counties so that you are not managing two different vendor relationships, two different compliance frameworks, and two different local market dynamics on your own. That is precisely where Alpine’s cross county experience becomes a strategic advantage for investors who want to capture the metro’s full opportunity.
Frequently Asked Questions
Q: What is the average home price in Johnson County, Kansas, versus Jackson County, Missouri, in 2026?
A: In January 2026, the average sale price in Johnson County was $566,376, up 10.5% from the prior year, with city level medians ranging from $440,000 in Olathe to $580,000 in South Overland Park. In Jackson County, the median sale price was $257,500, up 3.8%, with an average sale price of $304,952. The price gap between the two counties is substantial and reflects the difference in school districts, tenant demographics, and long term appreciation trajectories.
Q: Which county has higher average rents for investment properties near Kansas City?
A: Johnson County commands higher rents overall. Overland Park averages approximately $1,547 per month, Olathe averages $1,468 per month as of early 2026 (up 5.38% from the prior year), and Lenexa averages around $1,454. In Jackson County, the Kansas City, Missouri average is $1,310 per month, up 2.79%, with the broader Jackson County average around $1,248. However, because Johnson County purchase prices are roughly double those in Jackson County, the rent to price ratio actually favors Jackson County for investors focused on cash flow.
Q: How does the property tax situation in Jackson County, Missouri, affect investors in 2026?
A: Jackson County’s property tax environment is in active transition through 2028. Following a disputed 2023 reassessment that triggered mass appeals and a county executive recall, the county is now issuing automatic tax credits to qualifying property owners on their 2026, 2027, and 2028 bills and has capped residential assessment increases at 15%. However, taxing jurisdictions may also adjust mill levies upward to compensate for credit related revenue losses, meaning the net impact varies by neighborhood and school district. Investors should analyze the specific parcel’s assessment history and confirm pending credits before acquiring in Jackson County.
Q: Is Johnson County or Jackson County better for long term appreciation?
A: Johnson County has demonstrated stronger absolute appreciation over the past decade, with average prices climbing from approximately $285,000 in early 2016 to over $566,000 by early 2026, roughly 99% growth. Jackson County rose from about $160,000 to over $300,000 in the same period, approximately 88% growth. Johnson County’s 2026 market study projects continued residential value increases of 5 to 7% for the year, supported by tight inventory at 1.7 months of supply and strong employer demand in the Overland Park tech corridor.
Q: What is the regulatory environment for landlords in Johnson County compared to Kansas City, Missouri?
A: Kansas landlord tenant law, which governs Johnson County, is generally considered more straightforward and landlord friendly than Missouri’s framework with Kansas City, Missouri’s additional municipal overlay. Kansas City, MO, landlords must navigate Ordinance 231019 governing tenant screening, the Healthy Homes Rental Inspection Program, and specific lease and security deposit rules under Missouri statutes. Both states prohibit rent control, but Kansas City, MO’s evolving local ordinance environment requires ongoing compliance monitoring that adds management complexity compared to Johnson County.
Q: Can I build a better portfolio by investing in both counties?
A: Yes, and most experienced Kansas City metro investors do exactly that. Johnson County properties in Overland Park and Olathe provide long term appreciation, premium tenant demographics, and regulatory stability. Jackson County properties in Lee’s Summit, Independence, and select Kansas City neighborhoods provide better rent to price ratios, lower acquisition costs, and the ability to diversify across more units for the same total capital. A blended cross county portfolio captures the metro’s full opportunity while balancing cash flow and appreciation across different risk profiles.
Q: How does the World Cup 2026 opportunity affect the investment calculus between counties?
A: The World Cup 2026, with Kansas City hosting matches at Arrowhead Stadium, primarily benefits Jackson County properties given the venue’s location and the concentration of urban and midtown accommodations sought by visiting fans. Short term rental opportunities in Kansas City, MO neighborhoods near downtown, the Crossroads, and Westport are more directly tied to World Cup demand than Johnson County’s suburban rental market. Johnson County benefits indirectly through increased regional visibility and the long term economic profile boost that a global event brings to the entire metro. Investors considering the short term rental opportunity tied to the World Cup should focus their attention on Jackson County assets within a reasonable distance of Arrowhead.
About Alpine Property Management Kansas City
Founded in 2013 by Marcus and Cara Painter, Alpine Property Management manages residential properties across the Kansas City metro area. Our commitment to responsive communication, efficient maintenance coordination, quality tenant placement, and transparent financial reporting has built our reputation for excellence. We serve Kansas City MO, Kansas City KS, Overland Park, Leawood, Olathe, Lenexa, Shawnee, Lee’s Summit, Independence, Blue Springs, Gladstone, Liberty, North Kansas City, Parkville, Riverside, and surrounding communities.
Contact: 816-343-4520 | info@alpinekansascity.com