The three sums worth doing before you apply
Program and regulatory figures verified October 5, 2026. Details change; confirm your scenario with us.
Most assistance calculators answer one question: how much do I get. In Indiana that is the least important of the three, because the money comes back.
Sum one: how much assistance?
Straight percentages of the purchase price. Next Home is measured on the purchase price or appraised value, whichever is less.
| Purchase price | First Step, 5% | Next Home, 3.50% | Next Home, 2.50% |
|---|---|---|---|
| $150,000 | $7,500 | $5,250 | $3,750 |
| $200,000 | $10,000 | $7,000 | $5,000 |
| $250,000 | $12,500 | $8,750 | $6,250 |
| $300,000 | $15,000 | $10,500 | $7,500 |
| $350,000 | $17,500 | $12,250 | $8,750 |
| $400,000 | $20,000 | $14,000 | $10,000 |
At a typical Indianapolis value of $293,506, First Step lands near $15,000 and Next Home's 3.50% near $10,500.
★ Sum two: what do you pay back?
The same number. That is the whole sum, and it is the one Indiana buyers most often skip.
Because IHCDA assistance is non-forgivable with no proration, the figure in the first table is also the figure that comes off your proceeds when you sell, refinance, take a HELOC, or stop living there. A $12,500 assistance on a $250,000 purchase is $12,500 repaid in year three, year nine or year twenty-five alike.
So the honest way to read the first table is as a loan schedule with one payment at an unknown date. In a forgiving state you would discount it by the odds of staying long enough; in Indiana there is nothing to discount. What triggers repayment.
Sum three: which income table do you clear?
This decides whether sums one and two are available at all, and it is where most people stop too early.
| Your county type | FHA table, 1–2 | FHA table, 3+ | Conventional |
|---|---|---|---|
| Most counties | $95,300 | $109,595 | $133,420 |
| Indianapolis metro | $110,300 | $126,845 | $154,420 |
| Lake / Porter | $100,900 | $116,035 | $141,260 |
| Targeted areas | $114,360 | $133,420 | — |
Count only the people signing the note, not everyone living in the home. If you are over the FHA figure, check the conventional one before concluding anything. Your exact county · The conventional route.
The fourth sum, if you take First Step
Federal recapture tax is capped at the lesser of 6.25% of the original loan amount or half the gain. On a $200,000 loan that ceiling is $12,500, before the income percentage and the holding-period percentage cut it further.
It applies only to bond-funded First Step and Step Down, needs all three conditions to be true, and peaks at years four to five. Next Home carries none of it. The mechanics.
What arithmetic cannot tell you
Whether your address is in a targeted tract. That changes your limits and waives the first-time rule, and no table on this page knows your address.
Your qualifying income. Self-employment, overtime and bonus income are each calculated to a guideline rather than read off a pay stub.
Whether the file works. Credit at 660 or 680, the debt ratio with the assistance second loaded into it, the property type, the parcel and acreage. None of that is arithmetic.
What is not on this site
No rates, no APRs, no payment figures, anywhere. A payment estimate without a locked rate and a real file behind it is a number people plan around to their cost. Send us the scenario and we will run it properly. Send your numbers.
Frequently asked questions
How much down payment assistance will I get in Indiana?
First Step provides 5% of the purchase price, so $12,500 on a $250,000 home. Next Home provides 2.50% or 3.50%, so $6,250 or $8,750 on the same price, measured on the purchase price or appraised value, whichever is less.How much do I pay back on Indiana down payment assistance?
The full amount you received. IHCDA assistance is a non-forgivable second mortgage with no proration, so a $12,500 assistance is $12,500 repaid whenever the first mortgage terminates, the home is sold or refinanced, a HELOC is taken, or it stops being your primary residence.Can a calculator tell me if I qualify for IHCDA?
It can compare your income against the published limit tables and estimate the assistance amount. It cannot confirm whether your address sits in a targeted census tract, how your qualifying income is calculated under IHCDA guidelines, or whether the file works on credit, debt ratio and property type.Mike Certo · NMLS #260555 · Cornerstone First Mortgage NMLS #173855 · Equal Housing Lender. Educational content about financing, not a loan commitment and not legal or tax advice. IHCDA program terms, income limits and acquisition limits are set by the Indiana Housing and Community Development Authority and change; figures here carry the date we verified them against IHCDA's published documents. IHCDA down payment assistance is a non-forgivable second mortgage repayable in full, not a grant. Federal recapture tax may apply on bond-funded loans; consult a tax advisor. Loans are subject to borrower and property qualification.