Buying a home in Indiana: the help you may qualify for.
Down payment assistance, property tax exemptions and veteran benefits in Indiana, gathered from official state sources and explained in plain English. Every program has its own rules, so check with the agency before you count on it.
Down payment and closing cost help
From the Indiana Housing and Community Development Authority (IHCDA).
Next Home
2.5% or 3.5% of the price
Down payment help for first-time and repeat buyers, with an IHCDA first mortgage.
First Step
Down payment help for first-time buyers
Non-forgivable assistance; amounts have changed recently, so confirm with a lender.
Who qualifies: Income and price limits, through an IHCDA participating lender.
Property tax exemptions and credits
Exemptions lower your home’s taxable value or your bill. Most aren’t automatic: you apply with your county auditor. Indiana’s official exemptions information.
For homeowners who live in the home
Homestead standard and supplemental deductions
$40,000 off for 2026, plus 40% of the rest
The standard deduction is stepping down each year (it reaches $0 in 2030) while the supplemental deduction rises, so check your county's current figures.
How to apply: Form HC10 with your county auditor. (Ind. Code 6-1.1-12-37)
For homeowners 65 and older
Over 65 credit
A $150 credit, with income limits
Indiana's former over-65 deduction is now a credit.
How to apply: With your county auditor. (Indiana Department of Local Government Finance)
For veterans
Disabled veteran deductions
$14,000 or $24,960 off assessed value
$24,960 for a service-connected disability, and $14,000 for totally disabled veterans or veterans 62 or older with at least a 10% disability. Proposed changes for 2027 may increase these.
How to apply: With your county auditor. (Indiana Department of Local Government Finance)
Want to see which ones fit you? Answer a few questions in the property tax exemptions checker.
If you serve or served
- VA home loan: available in every state, often with no down payment and no monthly mortgage insurance. You’ll need a Certificate of Eligibility. See VA home loans.
- Property tax: veterans in Indiana may qualify for Disabled veteran deductions. See the details above.
Your next steps
- Work out a monthly cost you’re comfortable with in the home cost calculator. It also lists Indiana’s programs with the loans you may qualify for.
- Talk with a free or low-cost HUD-approved housing counselor. Find one near you.
- Ask each lender which of these programs they work with, and compare Loan Estimates from at least three.
- Follow the step-by-step home buyer’s guide from budget to keys.
Common questions
Does Indiana have down payment help for home buyers?
Yes. Programs from the Indiana Housing and Community Development Authority (IHCDA) include Next Home, First Step. Income and price limits, through an IHCDA participating lender. Funding and rules change often, so check with the agency or a participating lender.
Does Indiana have a homestead or property tax exemption for homeowners?
Yes. Homeowners who live in the home may qualify for: Homestead standard and supplemental deductions. Apply with your county auditor; most exemptions aren't automatic.
Is there help for veterans buying a home in Indiana?
VA home loans are available in every state, often with no down payment. Veterans may also qualify for property tax benefits such as Disabled veteran deductions.
Sources: Indiana Housing and Community Development Authority (IHCDA) and Indiana’s property tax office, linked above. Last checked November 11, 2026. Programs, amounts, income limits and funding change often, sometimes every year. Know Before You Own doesn’t recommend lenders or take referral fees. This page is general education, not legal, tax or lending advice. See other states.