Buying - First Home Programs
First Home
The Indiana Housing and Community Development
Authority (IHCDA), through participating lenders
around the state, offers qualified homebuyers a
tremendous home financing opportunity. If you are
ready to buy or build a home in the state of Indiana,
this program may help you.
What is the benefit of First Home?
IHCDA’s First Home program offers eligible buyers an
interest rate on their mortgage that is below the
market rate. Please read this brochure carefully to
determine if you qualify, then contact a participating
lender in your area. For a list of participating lenders,
go to www.indianahousing.org.
Eligible Loans
The mortgage loan you obtain must only be for the
purchase of a home and not for the refinance of an
existing mortgage loan or land contract. Exceptions
are construction-to-permanent loans and construction
loans with an initial term of less than 24 months.
The interest rate is for a 30-year, fixed-rate mortgage
only. The type of loan you obtain may be a FHA, VA,
USDA Rural Development or Fannie Mae-qualified
conventional loan with private mortgage insurance.
The lender can help you decide which type of loan is
best for you.
Eligible Borrowers
The total gross annual household income for all
residents living, or intending to live, in the home
must be within the county income limits. For a list of
county income limits, go to www.indianahousing.org,
or call (800) 872-0371.
The gross annual household income is calculated using
all sources of income, including, but not limited to:
wages, overtime, bonuses, child support, alimony,
commissions, shift differential, and earnings from a
second job, business and/or investments.
You must occupy the home within 60 days of loan
closing or within 60 days of completion.
Do I have to be a first-time homebuyer?
Only first–time homebuyers may participate in the
program unless you are purchasing a home in a
targeted area (see explanation of targeted areas). A
first-time homebuyer is someone who has not had an
ownership interest in a primary residence for the past
three years. Land contracts do constitute an ownership
interest. A mobile home does not constitute an
ownership interest unless it is permanently affixed to
land and taxed as real estate.
Eligible Properties
The allowable acquisition price of a home financed
through this program varies by county and whether you
are buying an existing or new home. A list of acquistion
price limits is available at www.indianahousing.org, or by
calling (800) 872-0371.
