What is an FHA Loan? Requirements, How to Get One and Best Lenders
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How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

2024 FHA Loan Limits in Indiana

Updated on:
Content was accurate at the time of publication.

FHA loans are insured by the Federal Housing Administration (FHA), which allows them to offer consumers competitive mortgage rates and lower credit score requirements, making them easier to qualify for. However, there are limits to how much you can borrow with an FHA loan.

The FHA loan limit for single-family homes in all Indiana counties is $498,257 for 2024. Find out how these limits are determined, how you can qualify and which FHA-approved lenders to consider in the guide below.

County nameOne unitTwo unitsThree unitsFour unitsMedian sales price
ADAMS$498,257$637,950$771,125$958,350$163,000
ALLEN$498,257$637,950$771,125$958,350$243,000
BARTHOLOMEW$498,257$637,950$771,125$958,350$250,000
BENTON$498,257$637,950$771,125$958,350$249,000
BLACKFORD$498,257$637,950$771,125$958,350$111,000
BOONE$498,257$637,950$771,125$958,350$425,000
BROWN$498,257$637,950$771,125$958,350$425,000
CARROLL$498,257$637,950$771,125$958,350$249,000
CASS$498,257$637,950$771,125$958,350$142,000
CLARK$498,257$637,950$771,125$958,350$390,000
CLAY$498,257$637,950$771,125$958,350$134,000
CLINTON$498,257$637,950$771,125$958,350$180,000
CRAWFORD$498,257$637,950$771,125$958,350$111,000
DAVIESS$498,257$637,950$771,125$958,350$120,000
DEARBORN$498,257$637,950$771,125$958,350$335,000
DECATUR$498,257$637,950$771,125$958,350$195,000
DEKALB$498,257$637,950$771,125$958,350$199,000
DELAWARE$498,257$637,950$771,125$958,350$158,000
DUBOIS$498,257$637,950$771,125$958,350$200,000
ELKHART$498,257$637,950$771,125$958,350$230,000
FAYETTE$498,257$637,950$771,125$958,350$100,000
FLOYD$498,257$637,950$771,125$958,350$390,000
FOUNTAIN$498,257$637,950$771,125$958,350$158,000
FRANKLIN$498,257$637,950$771,125$958,350$335,000
FULTON$498,257$637,950$771,125$958,350$170,000
GIBSON$498,257$637,950$771,125$958,350$139,000
GRANT$498,257$637,950$771,125$958,350$125,000
GREENE$498,257$637,950$771,125$958,350$153,000
HAMILTON$498,257$637,950$771,125$958,350$425,000
HANCOCK$498,257$637,950$771,125$958,350$425,000
HARRISON$498,257$637,950$771,125$958,350$390,000
HENDRICKS$498,257$637,950$771,125$958,350$425,000
HENRY$498,257$637,950$771,125$958,350$150,000
HOWARD$498,257$637,950$771,125$958,350$161,000
HUNTINGTON$498,257$637,950$771,125$958,350$155,000
JACKSON$498,257$637,950$771,125$958,350$196,000
JASPER$498,257$637,950$771,125$958,350$400,000
JAY$498,257$637,950$771,125$958,350$124,000
JEFFERSON$498,257$637,950$771,125$958,350$171,000
JENNINGS$498,257$637,950$771,125$958,350$184,000
JOHNSON$498,257$637,950$771,125$958,350$425,000
KNOX$498,257$637,950$771,125$958,350$137,000
KOSCIUSKO$498,257$637,950$771,125$958,350$238,000
LAGRANGE$498,257$637,950$771,125$958,350$235,000
LAKE$498,257$637,950$771,125$958,350$400,000
LAPORTE$498,257$637,950$771,125$958,350$198,000
LAWRENCE$498,257$637,950$771,125$958,350$120,000
MADISON$498,257$637,950$771,125$958,350$425,000
MARION$498,257$637,950$771,125$958,350$425,000
MARSHALL$498,257$637,950$771,125$958,350$206,000
MARTIN$498,257$637,950$771,125$958,350$109,000
MIAMI$498,257$637,950$771,125$958,350$126,000
MONROE$498,257$637,950$771,125$958,350$305,000
MONTGOMERY$498,257$637,950$771,125$958,350$181,000
MORGAN$498,257$637,950$771,125$958,350$425,000
NEWTON$498,257$637,950$771,125$958,350$400,000
NOBLE$498,257$637,950$771,125$958,350$188,000
OHIO$498,257$637,950$771,125$958,350$335,000
ORANGE$498,257$637,950$771,125$958,350$130,000
OWEN$498,257$637,950$771,125$958,350$305,000
PARKE$498,257$637,950$771,125$958,350$134,000
PERRY$498,257$637,950$771,125$958,350$149,000
PIKE$498,257$637,950$771,125$958,350$200,000
PORTER$498,257$637,950$771,125$958,350$400,000
POSEY$498,257$637,950$771,125$958,350$254,000
PULASKI$498,257$637,950$771,125$958,350$155,000
PUTNAM$498,257$637,950$771,125$958,350$425,000
RANDOLPH$498,257$637,950$771,125$958,350$114,000
RIPLEY$498,257$637,950$771,125$958,350$194,000
RUSH$498,257$637,950$771,125$958,350$162,000
SCOTT$498,257$637,950$771,125$958,350$171,000
SHELBY$498,257$637,950$771,125$958,350$425,000
SPENCER$498,257$637,950$771,125$958,350$168,000
ST. JOSEPH$498,257$637,950$771,125$958,350$189,000
STARKE$498,257$637,950$771,125$958,350$184,000
STEUBEN$498,257$637,950$771,125$958,350$214,000
SULLIVAN$498,257$637,950$771,125$958,350$134,000
SWITZERLAND$498,257$637,950$771,125$958,350$105,000
TIPPECANOE$498,257$637,950$771,125$958,350$249,000
TIPTON$498,257$637,950$771,125$958,350$140,000
UNION$498,257$637,950$771,125$958,350$335,000
VANDERBURGH$498,257$637,950$771,125$958,350$254,000
VERMILLION$498,257$637,950$771,125$958,350$134,000
VIGO$498,257$637,950$771,125$958,350$134,000
WABASH$498,257$637,950$771,125$958,350$164,000
WARREN$498,257$637,950$771,125$958,350$249,000
WARRICK$498,257$637,950$771,125$958,350$254,000
WASHINGTON$498,257$637,950$771,125$958,350$390,000
WAYNE$498,257$637,950$771,125$958,350$141,000
WELLS$498,257$637,950$771,125$958,350$188,000
WHITE$498,257$637,950$771,125$958,350$177,000
WHITLEY$498,257$637,950$771,125$958,350$243,000

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The National Housing Act (NHA) requires the FHA to establish loan limits based on the median home prices in each county. FHA loan amounts are capped at 115% of the median home price for the county, as estimated each calendar year by the U.S. Department of Housing and Urban Development (HUD).

The FHA also sets floor and ceiling limits for loans, which are based on the national conforming loan limit for conventional mortgages determined by the FHFA. In 2024, the conforming loan limit for a single-family property is $766,550. The FHA sets the floor limit at 65% of that amount, or $498,257, and the ceiling at 150% of that conforming limit, or $1,149,825, with the exception of a few states with high construction costs.

For example, HUD estimates that homes in Decatur County have a median sale price of $195,000. 115% of the median sale price in Decatur would be $224,250. Since that’s less than the floor limit of $498,257, the FHA loan limit for Decatur County is $498,257. The FHA loan limit for one-unit homes in all other counties in Indiana is also equal to the floor limit, but the FHA sets higher limits for multifamily properties according to fixed multiples of the single-family limits.

When applying for an FHA loan in Indiana, you’ll need to meet certain credit standards and other requirements established by the FHA. You may also need to meet additional requirements set by the private lender that issues the loan. At a minimum, you should:

 Have a Social Security number. To qualify for an FHA loan, you’ll need to be a U.S. citizen or lawful permanent resident alien with a valid SSN.

 Have at least a 500 credit score. You can qualify for an FHA loan with a credit score of 500 if you make at least a 10% down payment. If you’re putting less down, you’ll need a credit score of at least 580.

 Have a 43% debt-to-income ratio or less. In most cases, you won’t be eligible if your monthly minimum debt payments exceed 43% of your gross income, but some lenders may make an exception if you have enough cash reserves.

 Apply for a mortgage loan up to $498,257. You can’t borrow more than $498,257 with an Indiana FHA loan, whether you live in Marion County, Allen County or somewhere else in the state. You can use an FHA loan to purchase a more expensive home, but you’ll need to cover the difference with a larger down payment.

 Put at least 3.5% down plus closing costs. Your down payment needs to be at least 3.5% of the appraised value or sale price of the home, whichever is less, and you’ll need to cover the closing costs associated with the sale (closing costs in Indiana average 0.9% of the sale price, which is relatively low). You’re allowed to use gift money and funds from down payment assistance programs, in addition to funds stashed in your checking, savings and investment accounts.

 Pay mortgage insurance premiums. With FHA loans, borrowers are required to pay mortgage insurance premiums to protect the lender in case of default. FHA loans require an upfront mortgage insurance payment equal to 1.75% of the loan amount, which may be financed into your loan, in addition to annual mortgage insurance premiums ranging from 0.15% to 0.75% of the loan amount, depending on your down payment and mortgage term. If you put at least 10% down, you can stop paying the premiums after 11 years.

 Show proof of income and employment. The FHA doesn’t set minimum income requirements for borrowers, but your lender might. In any case, you’ll need to document your income and employment history for the past two years when applying.

 Intend to live in the home. Only owner-occupied properties qualify for FHA loans, so you can’t use an FHA loan for an investment property unless you plan to live in one of the units. At least one borrower needs to occupy the home secured by your FHA mortgage as their principal residence for a minimum of one year.

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Buying a multifamily property with an FHA loan

While FHA loans are only available for owner-occupied properties, you’re allowed to finance a two- to four-unit multifamily home with an FHA mortgage as long as one of the units is your primary residence. The other units can be rental properties, and you can use the projected rental income to help you qualify for the larger FHA loan. This strategy, known as house hacking, can help you offset your own housing costs.

To buy a multifamily property with an FHA loan, you’ll need to meet all the qualification requirements in the section above and have sufficient cash reserves to cover at least one mortgage payment after the sale is complete. Your mortgage must also fall within the FHA loan limits below.

Number of unitsLow-cost FHA loan limit
Two$637,950
Three$771,125
Four$958,350

How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

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