Down Payment Assistance Programs in Indiana (2026 Guide)

# Down Payment Assistance Programs in Indiana (2026 Guide) Saving for a down payment is one of the biggest hurdles for first-time home buyers. Fortunately, Indiana offers 3 assistance programs that can help you achieve homeownership sooner than you thought possible. ## Indiana Housing Agency All state DPA programs are administered by Indiana Housing and Community Development Authority (IHCDA). **Contact Information:** - Website: [https://www.ihcda.in.gov](https://www.ihcda.in.gov) - Phone: 317-232-7777 ## Available Programs Indiana offers 3 major down payment assistance programs: ### Next Home Advantage with Subsidy | Feature | Details | |---------|---------| | Maximum Assistance | 3% of appraised value | | Program Type | Forgivable Loan | | Description | Forgiven after 2 years if you remain in the home. | ### First Place Program | Feature | Details | |---------|---------| | Maximum Assistance | Up to $5,000 | | Program Type | Second Mortgage | | Description | For first-time buyers. 0% interest, deferred payment. | ### Helping to Own (H2O) | Feature | Details | |---------|---------| | Maximum Assistance | Up to $14,999 | | Program Type | Forgivable Loan | | Description | For buyers in certain income brackets. Forgivable over time. | ## How to Apply ### Step 1: Check Your Eligibility Most programs require: - First-time homebuyer status (no home ownership in past 3 years) - Income at or below program limits - Minimum credit score (usually 620-640) - Home price within program limits ### Step 2: Complete Homebuyer Education All IHCDA programs require completion of a HUD-approved homebuyer education course. This prepares you for the responsibilities of homeownership. ### Step 3: Work with an Approved Lender IHCDA maintains a list of approved lenders trained in their programs. These lenders can help you combine DPA with your mortgage. ### Step 4: Find Your Home Once pre-approved, work with a real estate agent to find a home within program price limits. ## Combining with Your Mortgage Down payment assistance can be layered with various loan types: | Loan Type | Min Down | With IHCDA DPA | |-----------|----------|--------------------------| | FHA | 3.5% | DPA covers most or all | | Conventional | 3-5% | DPA covers most or all | | VA | 0% | DPA for closing costs | | USDA | 0% | DPA for closing costs | ## Real Cost Savings With Indiana's median home price of $254,805: | Scenario | Down Payment Needed | With Max DPA | |----------|--------------------|--------------| | FHA (3.5%) | $8,918 | Potentially $0 | | Conventional (5%) | $12,740 | Significantly reduced | | Conventional (20%) | $50,961 | Reduced by DPA amount | ## Conclusion Don't let down payment concerns keep you from homeownership. Indiana's DPA programs have helped thousands of first-time buyers achieve their dream. Contact IHCDA today to learn which programs you qualify for. Use our [Indiana Mortgage Calculator](/mortgage-calculator/indiana) to see how DPA affects your monthly payment. --- *Source: Indiana Housing and Community Development Authority. Program details subject to change. Contact IHCDA for current requirements.*