Like seemingly all academic positions, it's very hard to move up from the school you attended to the school you teach at, at least without having first a great deal of professional success. It will be very hard to get a job out of grad school at a desirable school without a degree from a MORE desirable university OR a kick-ass exhibition record (or both). If you're a hot shit artist, you can actually get by without an MFA, though that's very rare.
If you're trying to teach at community college or regional school, it probably doesn't matter that much.
I have an MFA from a top program, and I was lucky to get a job at a respectable (though not stellar) art university. And it's spotty contract work. But, if I can build my exhibition record consistently, I think I'll be fine.
Also, there are good schools that are very well-funded: USC, Northwestern, Stanford. Also, UC Irvine and UCLA are amazing programs, and, if you're lucky enough to be a California resident, or have the wherewithal to establish residency, they're very affordable.