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2021 FHA Loan Limits in Indiana

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The federal government has set the maximum amount Indiana homebuyers can borrow with an FHA loan between $356,362 and $379,500 for a single-family home, depending on which county the property is located in. The lower number applies to folks throughout the state, except in the Indianapolis metro area and counties near Chicago, where homebuyers might be able to qualify for nearly $380,000.

Dreaming about buying a house in Indiana? This may be the perfect time to make the leap. And thanks to the Federal Housing Administration (FHA), some Hoosiers can qualify for federally backed loans to help get them into a new house. This year, residents will be able to borrow even more with an FHA loan in some areas to make their homebuying dreams come true.

Indiana FHA loan limits by county

FHA Loan Limits in Indiana
County Name One-Family Two-Family Three-Family Four-Family Median Sale Price
Adams $356,362 $456,275 $551,500 $685,400 $138,000
Allen $356,362 $456,275 $551,500 $685,400 $183,000
Bartholomew $356,362 $456,275 $551,500 $685,400 $197,000
Benton $356,362 $456,275 $551,500 $685,400 $200,000
Blackford $356,362 $456,275 $551,500 $685,400 $76,000
Boone $379,500 $485,800 $587,250 $729,800 $330,000
Brown $379,500 $485,800 $587,250 $729,800 $330,000
Carroll $356,362 $456,275 $551,500 $685,400 $200,000
Cass $356,362 $456,275 $551,500 $685,400 $108,000
Clark $356,362 $456,275 $551,500 $685,400 $302,000
Clay $356,362 $456,275 $551,500 $685,400 $129,000
Clinton $356,362 $456,275 $551,500 $685,400 $129,000
Crawford $356,362 $456,275 $551,500 $685,400 $125,000
Daviess $356,362 $456,275 $551,500 $685,400 $80,000
Dearborn $356,362 $456,275 $551,500 $685,400 $257,000
Decatur $356,362 $456,275 $551,500 $685,400 $163,000
Dekalb $356,362 $456,275 $551,500 $685,400 $166,000
Delaware $356,362 $456,275 $551,500 $685,400 $123,000
Dubois $356,362 $456,275 $551,500 $685,400 $182,000
Elkhart $356,362 $456,275 $551,500 $685,400 $182,000
Fayette $356,362 $456,275 $551,500 $685,400 $68,000
Floyd $356,362 $456,275 $551,500 $685,400 $302,000
Fountain $356,362 $456,275 $551,500 $685,400 $125,000
Franklin $356,362 $456,275 $551,500 $685,400 $257,000
Fulton $356,362 $456,275 $551,500 $685,400 $130,000
Gibson $356,362 $456,275 $551,500 $685,400 $180,000
Grant $356,362 $456,275 $551,500 $685,400 $106,000
Greene $356,362 $456,275 $551,500 $685,400 $128,000
Hamilton $379,500 $485,800 $587,250 $729,800 $330,000
Hancock $379,500 $485,800 $587,250 $729,800 $330,000
Harrison $356,362 $456,275 $551,500 $685,400 $302,000
Hendricks $379,500 $485,800 $587,250 $729,800 $330,000
Henry $356,362 $456,275 $551,500 $685,400 $120,000
Howard $356,362 $456,275 $551,500 $685,400 $127,000
Huntington $356,362 $456,275 $551,500 $685,400 $139,000
Jackson $356,362 $456,275 $551,500 $685,400 $163,000
Jasper $379,500 $485,800 $587,250 $729,800 $330,000
Jay $356,362 $456,275 $551,500 $685,400 $103,000
Jefferson $356,362 $456,275 $551,500 $685,400 $104,000
Jennings $356,362 $456,275 $551,500 $685,400 $139,000
Johnson $379,500 $485,800 $587,250 $729,800 $330,000
Knox $356,362 $456,275 $551,500 $685,400 $116,000
Kosciusko $356,362 $456,275 $551,500 $685,400 $195,000
Lagrange $356,362 $456,275 $551,500 $685,400 $182,000
Lake $379,500 $485,800 $587,250 $729,800 $330,000
Laporte $356,362 $456,275 $551,500 $685,400 $160,000
Lawrence $356,362 $456,275 $551,500 $685,400 $98,000
Madison $379,500 $485,800 $587,250 $729,800 $330,000
Marion $379,500 $485,800 $587,250 $729,800 $330,000
Marshall $356,362 $456,275 $551,500 $685,400 $167,000

How are FHA loan limits determined?

The U.S. Department of Housing and Urban Development (HUD) sets limits on how expensive a house the FHA will insure in each county in the United States. These limits are set based on the current year’s conforming loan limit — or how large of a mortgage Fannie Mae and Freddie Mac will purchase. In 2021, that conforming limit is $548,250, up roughly $38,000 from 2020’s limit of $510,400.

The FHA “floor” is the largest mortgage the agency will issue in most of the country and is 65% of the conforming loan limit. In 2021, the FHA floor is set at $356,362, an increase of about $24,600 above the 2020 limit of $331,760.

The FHA “ceiling” is a higher limit that only applies to high-cost areas. This is set at 150% of the conforming loan limit, or $822,375 for single-family homes. With a few exceptions, this is generally the largest mortgage amount the agency will insure for a single-family home. In many parts of the country, loan limits fall somewhere between the FHA floor and ceiling.

Outside of the lower 48 states, FHA maximum loan limits are higher because of more expensive construction costs. These include the special exception areas of Alaska, Hawaii, Guam and the U.S. Virgin Islands.

Here are the 2021 standard FHA limits for all property types:

  • One-unit: $356,362
  • Two-unit: $456,275
  • Three-unit: $551,500
  • Four-unit: $685,400

Here are the 2021 standard FHA limits for high-cost areas:

  • One-unit: $822,375
  • Two-unit: $1,053,000
  • Three-unit: $1,272,750
  • Four-unit: $1,581,750

Do you qualify for an FHA loan in Indiana?

FHA loans are a great deal for qualified buyers, thanks to lower down payments and closing costs. Find out if your credit score and income will help you qualify for one of these loans.

 

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