Indiana FHA Loans at a Glance: just 3.5% down · FICO from 580 · statewide limit $541,287 · pairs with IHCDA DPA up to 6% · NMLS #1826020
Indiana FHA Home Loans · Direct Lender Since 1998

FHA Loans Indiana

Buy an Indiana home with as little as 3.5% down and a credit score from 580. From Indianapolis and its booming Hamilton County suburbs to Fort Wayne and NW Indiana, FHA is universally usable – and it pairs with IHCDA down-payment help of up to 6% (with a 3.5% grant option).

  • 3.5% down with a 580+ FICO (10% down from 500-579)
  • Pair IHCDA First Place (up to 6%) or the H2O 3.5% grant
  • Uniform statewide FHA limit of $541,287 (one-unit)
  • Top Carmel/Fishers schools stay under the FHA floor
  • Gift funds welcome; seller can pay up to 6% of closing costs

Start My Indiana FHA Application →

Get Pre-Approved for a Indiana FHA Loan

Fast, friendly, no obligation.

Get Your Free Quote! No Credit Pull Required.

★ 3.5% down★ 580 credit OK★ IHCDA DPA★ Affordable market★ First-time friendly★ Serving IN since 1998

Why an FHA loan works in Indiana

An FHA loan is a government-insured mortgage that helps Indiana buyers qualify with flexible credit, a low down payment and higher debt-to-income than conventional financing. With every county at the floor, FHA is broadly usable across the state.

Indiana pairs affordability with fast growth in the Indianapolis suburbs and a manufacturing base statewide. Whether you are buying your first home in Fort Wayne or a place near Carmel’s top schools, an FHA loan stacked with IHCDA help gets you to closing with less cash down. Start your application →

What it takes to qualify for a Indiana FHA loan

Down paymentAs little as 3.5% down if your score is 580 or higher; 10% down applies from 500-579
CreditA 580 minimum for the low-down program, and hands-on help for buyers still rebuilding
MIP (mortgage insurance)A one-time 1.75% upfront premium rolled into the loan, plus a small monthly premium (about 0.15%-0.55%)
DTI flexibilityRoom up to roughly 43%-50% of income when you have compensating factors or automated approval
Where the down payment can come fromSavings, a family gift, or an eligible down-payment-assistance program
Help from the sellerSellers may cover up to 6% of your closing costs on an FHA purchase
Eligible propertiesA Indiana single-family home, an FHA-approved condo or townhome, or a 2-4 unit you occupy
How you use itIt must be your primary residence – the home you live in
Adding a co-borrowerA non-occupant co-borrower such as a parent can be added to help you qualify

2026 Indiana FHA loan limits by county

FHA loan limits are set by county, but in 2026 every Indiana county uses the same one-unit floor:

All Indiana counties (1-unit)$541,287 – statewide, including the Indianapolis metro (Marion, Hamilton, Boone, Hendricks) and the Chicago-MSA counties (Lake, Porter)
2-unit properties$693,050
3-unit properties$837,700
4-unit properties$1,041,125

2026 one-unit FHA limits set annually by HUD; 2-4 unit limits are higher. We confirm the exact limit for your Indiana county before you write an offer.

Ready to see how much home you can buy in Indiana with 3.5% down? Get pre-approved today.
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Indiana FHA payment & affordability calculators

Estimate your Indiana FHA payment, cash to close and price range below. These tools are for planning only; apply to get your real numbers.

1. FHA monthly payment

Estimate your full monthly payment including FHA mortgage insurance.

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Total monthly payment
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Principal, interest & MIP

2. Down payment & cash to close

See your down payment and estimated cash after seller credits.

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Estimated cash to close
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Down payment amount

3. How much home can I afford?

Estimate your FHA price range from income and monthly debts.

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4. FHA loan amount + MIP

See your base loan plus the 1.75% upfront MIP financed in.

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Base loan / 1.75% UFMIP

Estimates only and not a commitment to lend. FHA charges 1.75% upfront MIP (financed) plus a monthly annual premium (~0.55% here for illustration). Actual figures depend on your property, credit and qualification.

First-time buyer, family, or 55+ mover - we have an Indiana FHA program for you.
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Indiana down payment assistance you can pair with FHA

Your FHA loan pairs with IHCDA (the Indiana Housing and Community Development Authority), whose programs include both forgivable seconds and a true grant:

First Place (FP)

Down-payment help up to 6% of the price as a forgivable second, forgiven after 9 years, for first-time buyers (or targeted-area/veteran buyers).

Next Home (NH)

Down-payment help up to 3.5% of the price, available to repeat buyers too.

Helping To Own (H2O)

A 3.5% grant - no repayment - on FHA loans for first-time buyers within income and price limits.

Who qualifies

Generally 640+ credit, an IHCDA-approved lender and a homebuyer education course.

Gift funds & seller credits

Combine gift funds and up to 6% in seller credits with FHA and IHCDA help to cut cash to close.

We match the program

We line up the IHCDA option - grant or forgivable - that fits your situation.

Ask about IHCDA - up to 6% help or a 3.5% grant for Indiana buyers.
See If You Qualify

Assistance programs have income, price and funding limits, are first-come while funds last, and are subject to change and eligibility. We confirm what you qualify for.

Stack IHCDA help with FHA - up to 6% or a 3.5% grant.
See If I Qualify
Buy a Indiana home with an FHA loan - apply nowYour Indiana home is closer than you think →

Why buyers choose FHA in Indiana

  • Put down just 3.5% and keep your savings intact
  • Qualify from a 580 score with practical, human underwriting
  • Cover the down payment with gifts or IHCDA help
  • Finance a house, condo or an owner-occupied 2-4 unit
  • Lower your rate down the road with an FHA Streamline

Get My FHA Pre-Approval →

FHA loans across Indiana - cities we serve

We have financed FHA purchases and refinances across Indiana since 1998. Here are some of the markets we serve:

  • Indianapolis
  • Fort Wayne
  • Fishers
  • Carmel
  • Bloomington
  • South Bend
  • Evansville
  • Lafayette
  • West Lafayette
  • Noblesville
  • Elkhart
  • Terre Haute
  • Hammond
  • Gary
  • Muncie
  • Kokomo
  • Westfield
  • Greenwood
  • Columbus
  • Zionsville

Do not see your city? Start your application → - we lend statewide across Indiana.

Top Indiana school districts & family towns

Great schools support both your kids and your resale value. Here are some of the top-rated Indiana districts and towns:

Carmel Clay (Hamilton County)

Perennially Indiana's top district in an affluent Indy suburb.

Zionsville Community (Boone County)

Highly rated, fast-growing district northwest of Indianapolis.

Hamilton Southeastern (Fishers)

Large, top-rated district in booming Hamilton County.

West Lafayette Community

Elite small district anchored by Purdue University.

Westfield Washington

Sought-after, growing Hamilton County schools.

Penn-Harris-Madison (South Bend area)

Well-regarded northern-Indiana district.

Indiana 55+ & active-adult communities

An FHA loan can buy a home in a Indiana 55+ community (any condo must be FHA-approved). Some of the most popular:

Del Webb at Britton Falls (Fishers/Fortville)

The marquee active-adult community in the Indianapolis metro.

The Retreat (Carmel area)

Low-maintenance active-adult neighborhood in northern Indy.

Heritage active-adult (Hamilton County)

55+ enclaves in fast-growing suburbs.

Villas communities (Fort Wayne)

Maintenance-provided homes for downsizers.

Active-adult sections (Evansville)

55+ neighborhoods in southern Indiana.

Condominium communities (statewide)

FHA-approved 55+ condos with low upkeep.

Ready to buy in Indiana? Start here

From a first condo to a move-up house in a top Indiana school zone or a 55+ community, we pair you with the right FHA program and a same-week pre-approval - 3.5% down.

  • Pre-approval in days, not weeks
  • Stack Indiana assistance and family gift funds
  • A direct FHA lender serving buyers since 1998

Apply for My Indiana FHA Loan →

Apply for your Indiana FHA home loanGet pre-approved with 3.5% down →

FHA loan programs available in Indiana

Buy with FHA

Purchase a Indiana house, condo or owner-occupied 2-4 unit for as little as 3.5% down.

Streamline refinance

Trim your rate or payment on an existing FHA loan with light docs and usually no appraisal.

203(k) rehab loan

Finance the purchase and the renovations of a fixer-upper in a single FHA loan.

Cash-out refinance

Pull Indiana equity out, up to FHA limits, for improvements or other needs.

Condo financing

FHA loans for units in approved Indiana condo projects, or single-unit spot approval.

Stack down-payment help

Layer Indiana assistance and gift funds on your FHA loan to lower your cash to close.

Your Indiana FHA loan, step by step

Start your pre-approval

A few minutes online tells you your price range, rate and 3.5%-down payment.

Shop with an edge

Make offers in the Indiana town and school zone you want, backed by a real pre-approval.

Appraisal & approval

We manage the FHA appraisal and underwriting, staying flexible on credit and gift funds.

Get your keys

Close on your Indiana home and start building equity from day one.

Indiana 2027 housing & FHA outlook

A few Indiana trends worth watching as you plan a 2027 purchase:

Hamilton County keeps booming

In-migration to Carmel, Fishers, Westfield and Noblesville drives new-construction demand at the FHA floor.

The LEAP effect

The LEAP innovation and data-center district near Lebanon (Boone County) spurs Indy-metro job growth.

NW Indiana spillover

Affordability versus Chicago keeps Lake and Porter counties a strong commuter market.

Broadly usable FHA

Median prices staying under the floor keep FHA usable statewide into 2027.

Outlook only, not a guarantee or financial advice. Market conditions change; we give you current, personalized numbers when you apply.

Frequently asked Indiana FHA questions

What are the 2026 FHA loan limits in Indiana?

Every Indiana county uses the same one-unit FHA limit of $541,287 in 2026 - including the Indianapolis metro (Marion, Hamilton, Boone, Hendricks) and the Chicago-MSA counties (Lake, Porter). Two-to-four unit limits are higher.

How does IHCDA down-payment help work with FHA?

IHCDA's First Place offers up to 6% of the price as a forgivable second (forgiven after 9 years), Next Home offers up to 3.5% for repeat buyers, and Helping To Own (H2O) is a 3.5% grant with no repayment. All pair with an FHA loan, generally requiring 640+ credit and a homebuyer class.

What is the minimum down payment on a Indiana FHA loan?

3.5% of the price when your score is 580+, or 10% between 500 and 579. Gift funds and approved down-payment assistance can cover much of it.

Do FHA condos have to be approved in Indiana?

Yes - the condo project needs to be FHA-approved, though we can pursue single-unit spot approval on many buildings. We verify your specific property.

Is FHA good for a first-time buyer in Indiana?

It is often the best fit - low 3.5% down, a 580 credit floor, gift funds allowed, and it stacks with IHCDA down-payment assistance for even less cash to close.

Are you an actual FHA lender?

Yes - CambridgeHomeLoan.com is a direct lender (NMLS #1826020) that has served homebuyers since 1998, guiding you from application through closing.

Start your Indiana FHA loan

A few minutes online gets you pre-approved: 3.5% down, a 580 credit floor, and Indiana down-payment help welcome. We have served Indiana homebuyers since 1998.

Get Pre-Approved for a Indiana FHA Loan

Fast, friendly, no obligation.

Get Your Free Quote! No Credit Pull Required.

Start My Application →

Serving Indiana homebuyers Since 1998!
© 2026 CambridgeHomeLoan.com  ·  NMLS #1826020  ·  4830 W Kennedy Blvd, Tampa, FL 33609  ·  (800) 826-5077  ·  Equal Housing Lender  ·  NMLS Consumer Access

Rates, terms, FHA loan limits and program guidelines are for 2026, subject to change, and depend on the property, credit and qualification. Not a commitment to lend. This is not a government agency. Equal Housing Lender.


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