Mortgage rates in Indiana
Average 30-year fixed 6.49% · Updated July 9, 2026 · Freddie Mac (FRED)
Indiana remains one of the more affordable Midwestern markets. Below is what buying at Indiana's median price looks like at today's national average rate, plus the local property tax and assistance that actually change your payment.
What a mortgage costs in Indiana
The interest rate on a Indiana mortgage is the same 6.49% national average a lender would quote anywhere — rates are set by the bond market, not by your state. On Indiana's median $305,000 home with 20% down, the loan works out to $244,000, or about $1,541 a month in principal and interest.
What makes Indiana different is the cost around the loan. Its 0.83% effective property-tax rate adds roughly $211 a month, and homeowners insurance about $114 more — bringing the all-in estimate to $1,866. Those local costs, not the interest rate, are what set Indiana apart. Your own price and down payment will move the number — work backward from your income with the price-you-can-afford calculator.
Getting approved in Indiana
Federal HMDA lending records show Indiana lenders originated 178,349 home loans in 2025 and denied 47,461 applications — an approval rate near 79% among decisioned applications, against 76.6% nationwide. See how all 50 states compare in our state-by-state approval data, and how Indiana ranks for lender complaint report (4,532 on record).
Shopping for a loan? See the most active mortgage lenders in Indiana, ranked by federal HMDA volume.
Down-payment help in Indiana
You rarely need 20% down. IHCDA — Indiana's housing finance agency — runs the state's main assistance program: The First Place program offers down-payment assistance up to 6%. Eligibility usually turns on income limits and a homebuyer-education course. Check current terms at IHCDA, see how a smaller down payment changes your number with the down-payment size calculator, or compare nationwide assistance programs.
Indiana mortgage FAQ
What is the current mortgage rate in Indiana?
As of July 9, 2026, the U.S. average 30-year fixed rate is 6.49%. The note rate itself is set nationally, not by state — a lender prices your Indiana loan the same way it would anywhere, based on your credit, down payment and loan type.
What changes locally is everything around the rate: Indiana's ~0.83% effective property tax, insurance costs, and which assistance programs apply.
What is the monthly payment on a typical Indiana home?
On Indiana's median home price of about $305,000 with 20% down at today's 6.49% average 30-year rate, expect roughly $1,866/month — that's $1,541 principal and interest plus about $211 property tax and $114 insurance. Adjust the numbers for your exact price and down payment in our calculators.
How hard is it to get approved for a mortgage in Indiana?
In 2025, Indiana lenders originated 178,349 home loans and denied 47,461 applications — an approval rate of about 79% among decisioned applications, versus 76.6% nationally, according to federal HMDA data. See how every state ranks in our mortgage approval report.
Rates shown are national weekly averages for general guidance, not an offer or personalized quote. Payment estimates assume the down payment noted plus estimated taxes and insurance. Confirm current pricing with a licensed lender.