The population of Columbia is projected to be 129,328 by 2026. More important than this number itself is the growth rate; recently, the population has increased by 7%, which is linked to the expansion of the University of Missouri and the growth of related businesses.

The first question that comes to mind is whether now is the right time to enter the Columbia market or if it would be better to wait a bit longer. To answer this question, we need to look at a few numbers in order. According to Zillow's ZHVI, the average home value in Columbia is $330,373, which is a 2.7% increase from a year ago (Zillow, as of June 30, 2026). During the same period, the actual median sale price was recorded at around $345,000 as of July 2026, indicating that while the absolute values may differ slightly due to different calculation methods, the overall trend is upward.

In terms of transaction speed, the median time to sell a home is about 33 days, and the inventory, which was extremely low between 2021 and 2022, has somewhat recovered, leading to a market that is close to balance but slightly tilted towards sellers. Although the year-over-year growth rate may seem moderate, transactions are still being processed quickly.

Supporting this trend is the University of Missouri. The University of Missouri, its affiliated hospital, and Columbia Public Schools are considered the largest employers in the area. According to the 2021 fiscal year, the economic impact of the University of Missouri across the state exceeded $5 billion and supported approximately 50,000 full-time and part-time jobs. Between 2023 and 2024, employment in Columbia increased by 2.24%, and the unemployment rate remains at 4.0%, similar to the national average. This employment stability supports population influx.

The projected figures are also worth noting. By the end of 2026, home prices in Columbia are expected to rise an additional 2% to 4%, with median prices reaching between $320,000 and $365,000. However, this forecast is merely an estimate, and actual trends may vary based on interest rates and local economic conditions.

For investors, it is prudent to check the cap rate calculated against net operating income, whether the monthly rent exceeds 1% of the purchase price (the 1% rule), and the cash-on-cash return relative to actual investment. As of July 2026, the average fixed mortgage rate is around 6.6% according to Freddie Mac PMMS, and the delay in sales by existing owners who secured loans at lower rates, known as the lock-in effect, is contributing to the nationwide inventory shortage.

From an investment perspective, risks must also be considered. Due to the nature of college towns, rental demand is stable during the academic year, but vacancies may increase during breaks, necessitating careful cash flow calculations. Over-leveraging can make one vulnerable to interest rate fluctuations, and it is common for property tax reassessments after purchase to increase tax burdens. It is also important not to underestimate maintenance costs.

Families relocating from other states should be aware that Missouri's property tax assessment methods and insurance rates may differ from their previous residences. Many families prioritize school districts, so it is advisable to refer to GreatSchools or niche ratings, but since school district boundaries frequently change, it is best to verify the assigned school for the specific address before purchasing.

For residents, considering the distance to the University of Missouri campus along with school districts is also worthwhile. Areas close to the campus tend to have steady rental demand but may have a higher proportion of students, which can affect the neighborhood atmosphere. In contrast, residential areas slightly further away are often more suitable for family living. Families moving from other states should also check if Missouri has specific property tax relief programs. For those who have just immigrated from Korea and are preparing to settle, experiencing the area through renting first before deciding to buy can be a viable option. This article does not constitute investment or legal advice, and it is recommended to consult real estate and tax professionals before making any contracts.