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FHA Loan Calculator for Indiana — 2026 Rates with MIP

Estimate your monthly FHA payment including upfront and annual MIP

Enter FHA Loan Details

FHA minimum is 3.5% with 580+ credit score

FHA vs Conventional Comparison

FHA Conventional
Min Down Payment 3.5% 3% - 20%
Credit Score Required 500+ 620+
Monthly MIP/PMI $XXX $XXX
Monthly Payment (Est.) $X,XXX $X,XXX
Best For Lower credit/savings Better credit/more savings

📍 Indiana FHA Information

FHA Loan Limit $524,225
Property Tax Rate 0.85%
Avg Home Price (Indianapolis) $231,000
Down Payment (3.5%) $8,085

First-Time Buyer Programs in Indiana:

  • IHCDA Next Home
  • IHCDA My Home

What is an FHA Loan Calculator in Indiana?

Welcome to our fha loan calculator indiana, specifically designed for first-time home buyers in Indiana who are considering an FHA loan. This calculator accounts for FHA's unique Mortgage Insurance Premium (MIP) requirement, giving you a more accurate monthly payment estimate than standard calculators that only show principal and interest.

How It Works

1

Enter Home Price and Down Payment

FHA allows down payments as low as 3.5%. Enter your home price and planned down payment amount.

2

Select Loan Term and Interest Rate

Choose between 15 and 30-year terms. Enter your expected interest rate from an FHA-approved lender.

3

Add Property Tax and Insurance

Include property tax rate (varies by state) and annual home insurance cost for complete PITI calculation.

4

Decide on Upfront MIP

Choose whether to pay the 1.75% upfront MIP at closing or roll it into your loan. Rolling increases your balance but reduces closing costs.

5

Review Monthly Payment

Your total monthly PITIMI includes principal, interest, taxes, insurance, and monthly MIP (Mortgage Insurance Premium).

Formula Explanation

Monthly Payment (PITI+MIP)

M = P × [r(1+r)^n] / [(1+r)^n - 1] + Monthly MIP

Variables:

M — Total monthly payment
P — Loan principal after upfront MIP
r — Monthly interest rate
n — Total number of payments
Monthly MIP — Annual MIP ÷ 12

Upfront MIP (UFMIP)

UFMIP = Base Loan × 1.75%

Variables:

UFMIP — Upfront mortgage insurance premium
Base Loan — Loan amount before UFMIP

Real-World Examples

$350,000 Home with 3.5% Down Payment

Input Values

home Price $350,000
down Payment Percent $3.5
interest Rate 6.5%
loan Term Years $30
property Tax Rate 1.2%
annual Insurance $1,400
upfront M I P $true
annual M I P Rate 0.55%

Results

base Loan Amount $337,750
upfront M I P 5910
total Loan 343660
monthly P I T I M I 2398
monthly M I P 155

With 3.5% down ($12,250), your base FHA loan is $337,750. Upfront MIP of 1.75% adds $5,910.

$280,000 Home with 10% Down Payment

Input Values

home Price $280,000
down Payment Percent $10
interest Rate 6.5%
loan Term Years $15
property Tax Rate 1%
annual Insurance $1,200
upfront M I P $false
annual M I P Rate 0.45%

Results

base Loan Amount $252,000
upfront M I P 0
total Loan 252000
monthly P I T I M I 2275
monthly M I P 94

With 10% down, your annual MIP rate drops to 0.45% and MIP cancels after 11 years instead of the life of the loan.

High-Cost Area: $600,000 Home with FHA Loan Limit

Input Values

home Price $600,000
down Payment Percent $3.5
interest Rate 6.5%
loan Term Years $30
property Tax Rate 1.2%
annual Insurance $2,400
upfront M I P $true
annual M I P Rate 0.55%

Results

base Loan Amount $579,000
upfront M I P 10133
total Loan 589133
monthly P I T I M I 4178
monthly M I P 265

In high-cost areas, FHA loan limits can reach $1,089,300. The upfront MIP of $10,133 can be rolled into the loan.

Common Mistakes to Avoid

Forgetting about upfront MIP

FHA loans charge 1.75% upfront MIP that can be rolled into the loan. On a $300,000 loan, that's $5,250 added to your balance.

Not comparing FHA MIP to conventional PMI

FHA annual MIP ranges from 0.45-1.05% of loan amount. Conventional PMI is often cheaper with 20% down and good credit.

Assuming MIP goes away like PMI

With less than 10% down, FHA MIP lasts the life of the loan. Conventional PMI can be cancelled at 20% equity.

Not checking FHA loan limits

FHA loan limits vary by county and can be as low as $420,680 in some areas.

Pro Tips

1

FHA loans require a 580+ credit score for best rates with 3.5% down

2

Upfront MIP can be rolled into your loan to reduce closing costs

3

Annual MIP rates vary - compare with conventional PMI costs

4

FHA loans are assumable - helpful when selling to buyers with less cash

5

Streamline refi available if your FHA loan is currently owned by FHA

6

Property must meet FHA minimum property standards

7

Seller can contribute up to 6% of sale price toward closing costs

Related Calculators

FHA Affordability Calculator FHA vs Conventional Calculator FHA Streamline Refinance Calculator Illinois FHA Calculator Kentucky FHA Calculator Conventional Mortgage Calculator

Sources & References

1

HUD - Indiana FHA loan guidelines

Source →
2

FHA Mortgage Insurance Premium Rates

Source →
3

Indiana housing market statistics

Source →

Last updated: May 29, 2026

Frequently Asked Questions

What is the FHA loan limit in Indiana for 2026?
The FHA loan limit in Indiana for 2026 is $524,225. This is the standard floor limit for most US counties. If you need a loan exceeding this limit, you may need to consider a jumbo FHA loan or a conventional mortgage.

How much is the monthly MIP on an FHA loan in Indiana?
For a $231,000 home in Indiana with 3.5% down, the monthly MIP would be approximately $102 (based on the 0.55% annual rate for loans with less than 5% down payment on a 30-year term). This is in addition to your principal, interest, property tax, and insurance payments.

What is the minimum down payment for an FHA loan in Indiana?
The minimum down payment for an FHA loan in Indiana is 3.5% if you have a credit score of 580 or higher. If your credit score is between 500-579, you would need to put down at least 10%. FHA loans allow you to use down payment assistance programs, which many Indiana first-time buyers take advantage of through programs like IHCDA Next Home.

Can I use FHA with down payment assistance in Indiana?
Yes! Many first-time buyers in Indiana combine FHA loans with down payment assistance programs. IHCDA Next Home, IHCDA My Home are all available in Indiana. These programs can provide grants or forgivable loans to cover your 3.5% down payment requirement, making homeownership more accessible even if you have limited savings.

FHA vs conventional loan in Indiana — which is better?
The choice between FHA and conventional in Indiana depends on your situation. FHA loans offer lower credit score requirements (500+ vs 620+) and smaller down payments (3.5% vs 5-20%), but come with monthly MIP that lasts for 11 years if you put 10% or more down. Conventional loans may be cheaper long-term if you can put 20% down and have good credit. For the average Indiana home of $231,000, compare total costs using our FHA vs Conventional calculator.