Estimate your monthly mortgage payment in Indiana — principal & interest plus Indiana property tax and homeowner’s insurance.
Buying a home in Indiana: what to know
Indiana is a Midwest affordability standout: a $260,095 statewide typical value (Zillow ZHVI, Aug 2026), a 0.76% median effective property tax rate (Tax Foundation, 2026), and a constitutional 1% circuit-breaker cap on primary-residence taxes. With a median home price of $260,095, 20% down means borrowing about $208,076 — within the 2026 conforming limit of $832,750 in all 92 Indiana counties. Property taxes run about 0.76% of assessed value, and insurance averages $1,191 a year statewide — both baked into the calculator above. First-time buyers should check out IHCDA’s First Step (5% DPA) and Next Home (open to repeat buyers) programs before shopping lenders.
Indiana mortgage facts
| Fact | Figure |
|---|---|
| 2026 conforming loan limit (1-unit) | $832,750 |
| Median home price | $260,095 |
| Median effective property tax rate | 0.76% |
| Average homeowner’s insurance | $1,191/year |
Data as of October 2026. Sources: FHFA (2026 conforming limits), Zillow ZHVI (Aug 2026), Tax Foundation (2026 (2024 ACS data)), NAIC via Insurance Information Institute (2022 (published May 2025)); rate: 7.40% (Freddie Mac PMMS, week ending October 15, 2026)
Indiana first-time buyer programs
- IHCDA First Step — 5% of the purchase price in down payment assistance as a non-forgivable 0%-interest deferred second mortgage (due on sale, refinance, or move-out), for first-time buyers; 660 minimum credit score. Official site
- IHCDA Next Home — Up to 3.5% of purchase price on government loans (5% on conventional) in down payment assistance as a non-forgivable second mortgage — open to repeat buyers, no first-time-buyer requirement. Official site
How to use this calculator
Start with Indiana’s median home price (pre-filled above) or type the price of a home you’re eyeing. The calculator assumes 20% down — the threshold that avoids private mortgage insurance on conventional loans — and applies Indiana’s median property tax rate and average insurance premium so the monthly figure reflects the true cost of owning, not just principal and interest. Remember the 1% circuit-breaker cap: your tax bill on a primary residence cannot exceed 1% of gross assessed value, which the calculator’s 0.76% effective rate already respects. Adjust the rate to a quote you’ve received.
Worked example: a median Indiana home
Take a median-priced Indiana home at $260,095. With 20% down ($52,019.00), the loan amount is $208,076.00. At 7.40% (Freddie Mac PMMS, week ending October 15, 2026) on a 30-year fixed term, principal and interest come to $1,440.68/month. Add property tax of about $164.73/month (0.76% of $260,095, divided by 12) and insurance of about $99.25/month ($1,191 a year), for a total estimated payment of $1,704.65/month. Over 30 years, total interest would be about $310,567.43. Your rate, down payment, and county tax bill will move these numbers — use the calculator above with your own figures.
What is the conforming loan limit in Indiana for 2026?
The 2026 conforming loan limit for a one-unit property is $832,750 in all 92 Indiana counties — Indiana has zero high-cost counties — per the FHFA’s November 2025 announcement.
How much are property taxes in Indiana?
The median effective property tax rate in Indiana is about 0.76% of a home’s assessed value (Tax Foundation, 2026 (2024 ACS data)). On a $260,095 home, that’s roughly $1,977 a year, or $164.73 a month — already included in the calculator above. Actual bills vary by county and municipality.
What is Indiana’s 1% property tax cap?
Indiana’s constitution caps property taxes on a primary residence at 1% of gross assessed value — the ‘circuit breaker’ (2% for other residential/farmland, 3% for commercial). The cap is applied automatically by the county auditor as a credit and has been in the state constitution since the 2010 referendum.
What down payment help does IHCDA offer now?
IHCDA’s current lineup: First Step gives 5% of the purchase price as a 0%-interest deferred second mortgage for first-time buyers (660 minimum credit score), and Next Home offers up to 3.5–5% with no first-time-buyer requirement — open to repeat buyers. (Note: the older First Place program ended December 31, 2023.)
Is Indiana one of the most affordable states to buy in?
At $260,095 (Zillow ZHVI, Aug 2026), Indiana’s typical home value is among the Midwest’s lowest, and the 1% constitutional tax cap plus 0.76% effective rate keep carrying costs down — 20% down on the median home is just $52,019.