Current VA guidelines, updated from one source.
Four numbers and two tables decide most VA files, and all of them are here, drawn from one guideline source built on VA’s published rules: the down payment with full entitlement, the absence of mortgage insurance, the funding fee by first or subsequent use, the ratio guideline, and the residual-income table for the region.
100% financing with full entitlement
With full entitlement a purchase needs 0% down at up to 100% of the appraised value; VA backs a quarter of the loan, which is what lets the lender waive the down payment. With remaining entitlement a lender may ask for a down payment on the part VA does not back.
No monthly premium, no upfront premium
Mortgage insurance does not exist on a VA loan: no monthly premium, no upfront premium, no cancellation rules to track. The calculator below shows a payment with nothing in that line, which is where VA differs from every other high-leverage program.
First use; 3.3% after first use; exempt for many disabled veterans
First use costs 2.15% of the loan; later uses cost 3.3%; a down payment of five or ten percent lowers either tier. The fee is usually financed into the loan, it may be refunded when a disability rating is later granted with an effective date before closing, and exempt veterans pay none of it at all.
Residual income decides the file
VA’s debt-to-income guideline is 41%, but it is a guideline, not a ceiling: a file above it can be approved when residual income exceeds the regional table by a fifth or more, and a file under it can still fall short on residual income. The table below shows the figures for the Midwest region.
| Loan type | Use | Down payment | Fee |
|---|---|---|---|
| Purchase or construction | First use | less than 5% down | 2.15% |
| Purchase or construction | First use | 5% to 9.99% down | 1.5% |
| Purchase or construction | First use | 10% or more down | 1.25% |
| Purchase or construction | After first use | less than 5% down | 3.3% |
| Purchase or construction | After first use | 5% to 9.99% down | 1.5% |
| Purchase or construction | After first use | 10% or more down | 1.25% |
| Cash-out refinance | First use | Any | 2.15% |
| Cash-out refinance | After first use | Any | 3.3% |
| Irrrl | Any | Any | 0.5% |
| Manufactured home (not permanently affixed) | Any | Any | 1% |
| Loan assumption | Any | Any | 0.5% |
| Vendee loan | Any | Any | 2.25% |
| Family size | Residual income |
|---|---|
| 1 | $441 |
| 2 | $738 |
| 3 | $889 |
| 4 | $1,003 |
| 5 | $1,039 |
| Each additional member, up to seven | + $80 |
Exempt from the funding fee: veterans receiving VA compensation for a service-connected disability, those eligible for it but receiving retirement or active-duty pay instead, surviving spouses receiving Dependency and Indemnity Compensation, service members with a pre-discharge claim rating, and active-duty service members who have received the Purple Heart. VA sets no minimum credit score; the wholesale programs behind these pages start at a 580 decision score and serve loan amounts up to $4,000,000, including loans above the conforming limit with full entitlement.
Refinances: cash-out to 100% loan-to-value after seasoning of 210 days and six payments with a net tangible benefit; rate-reduction refinances of an existing VA loan at a 0.5% fee without a VA appraisal. Current VA snapshot · updated October 1, 2026 · owner-occupied principal residences, one to four units · no VA loan limit with full entitlement · loans are assumable · no prepayment penalty · Lendmire is not affiliated with the Department of Veterans Affairs.
Informational only; not a commitment to lend, an approval, or a quote. Every figure on this page is a program parameter read from Lendmire’s guideline source, built on VA’s published rules, and may change without notice; eligibility, the loan amount, the fee, and the residual-income test depend on the Certificate of Eligibility, the credit profile, the property, and underwriting. Lendmire is a mortgage broker licensed in sixteen states for consumer mortgages and is not affiliated with the Department of Veterans Affairs. NMLS #2371349.
What a VA loan is — and how the file is qualified.
The difference between a VA loan and any other mortgage is who shares the risk. VA stands partly behind the lender, so the lender can lend the full value with no insurance premium and read the budget on residual income. Below, the four parts an Indiana buyer needs to understand.
For the program overview, see Lendmire’s VA loan program; to confirm eligibility or request a Certificate of Eligibility, see VA.gov.
The guaranty replaces the down payment
VA backs a quarter of the loan for a borrower with full entitlement, which gives the lender the same protection a sizable down payment would. That is why an Indiana purchase can close with nothing down and no mortgage insurance, and why there is no VA loan limit when entitlement is full: the backing scales with the loan.
Eligibility, entitlement, and the COE
Entitlement is the share of the loan VA will back. It is full for a first use and for a veteran who has sold the earlier home and paid the loan off; it is partial when an earlier VA loan is still outstanding or was lost to foreclosure. An Indiana buyer with partial entitlement can still buy, often with a down payment on the uncovered portion.
The funding fee, and who is exempt
Veterans receiving VA compensation for a service-connected disability pay no funding fee, and neither do surviving spouses receiving Dependency and Indemnity Compensation, Purple Heart recipients on active duty, or those rated before discharge. On an Indiana file the exemption is confirmed on the COE and removes the program’s only cost.
Residual income over ratios
Residual income depends on where the home is and how many people live in it: the tables differ by region, and the figure rises with each family member. The snapshot shows the Indiana table, and the calculator estimates a rough residual from the income, the payment, and the debts you enter for an Indiana scenario.
The calculator turns this arithmetic into an Indiana scenario: price in, down payment in, fee tier chosen, and out come the funding fee, the total loan, principal and interest, and the escrows. Add income and family size to see the ratio and a rough residual against VA’s table.
Where Indiana’s veterans and service members buy — and how VA fits.
The scale of a nothing-down VA loan in Indiana follows the market: values set the loan and the funding fee in dollars, incomes set the residual income left after the payment. The figures below, from the U.S. Census Bureau, give that scale statewide.
Statewide figures provide general market context, not an appraisal or an income calculation. Higher values mean a larger loan and a larger funding fee in dollars; lower values mean a payment that leaves more residual income on the same salary. The percentages never move, only what they amount to.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Where Indiana’s veterans buy — market by market.
These Indiana markets hold the largest owner-household pools in the state’s footprint, and each has a city guide of its own. The guaranty, the fee table, and the residual-income table do not change between them; the prices and the typical files do.
Indianapolis
Among Lendmire’s Indiana markets, Indianapolis has one of the deepest pools of owner households, close to 203,339, about 56% of households, and in a metropolitan market of that size the VA benefit closes purchases at every price the appraisal supports. Census context: median value near $224,800, median household income near $66,219, population near 886K.
Fort Wayne
Fort Wayne’s owner households run near 68,641, about 62% of households; a metropolitan market this large gives veterans and service members a steady supply of homes the guaranty can carry with nothing down. Census context: median value near $188,900, median household income near $61,422, population near 269K.
Evansville
Close to 28,987 households own in Evansville (55% of the total), so VA purchases, cash-out refinances, and rate-reduction refinances are all routine files in this metropolitan market. Census context: median value near $143,100, median household income near $53,387, population near 116K.
Carmel
Carmel’s owner households run near 28,551, about 74% of households; a metropolitan market this large gives veterans and service members a steady supply of homes the guaranty can carry with nothing down. Census context: median value near $486,800, median household income near $141,505, population near 102K.
Fishers
Fishers’ owner households run near 28,420, about 76% of households; a metropolitan market this large gives veterans and service members a steady supply of homes the guaranty can carry with nothing down. Census context: median value near $391,000, median household income near $130,203, population near 102K.
South Bend
South Bend’s owner households run near 24,861, about 60% of households; a metropolitan market this large gives veterans and service members a steady supply of homes the guaranty can carry with nothing down. Census context: median value near $140,400, median household income near $55,786, population near 103K.
What decides an Indiana VA file does not vary by city: the entitlement on the certificate, the fee and its tiers, the residual-income table, the appraisal requirements, and the seasoning after a credit event. The county conforming figure changes yearly, enters the math only with remaining entitlement, and is confirmed by a loan officer rather than printed here.
Four ways Indiana veterans put the VA benefit to work.
A good use of VA is one the program’s shape fits: no down payment, no mortgage insurance, residual-income underwriting, and a guaranty that scales with the loan. Four common Indiana uses follow.
Buy a condominium in an approved project
Many Indiana first purchases are condominiums, and VA finances them in approved projects; a project not yet on the list can be submitted, which takes time and the association’s cooperation. The buyer’s side of the file does not change.
Take cash out of a home with equity
Cash-out on VA is a full refinance of the first mortgage at the leverage in the snapshot, after the later of the seasoning period or the required payments, with the funding fee at the cash-out tier. An Indiana owner weighs it against a home equity line, which keeps the existing first mortgage in place.
Buy a first home with nothing down
For a first purchase in Indiana, VA pairs no down payment with no mortgage insurance and a residual-income test that reads the whole household budget; the file closes on the certificate, the appraisal, the income, and the funding fee tier.
Buy a small multi-unit home and live in one unit
Up to four units, nothing down, no mortgage insurance: VA finances the small multi-unit home as long as the veteran lives in one unit. Rent from the other units can count toward qualifying under VA’s rules, which may ask for landlord experience or reserves.
Estimate the VA payment on an Indiana price before requesting a quote.
This is what a nothing-down Indiana purchase costs each month: the funding fee for the use and down payment you choose, the total loan amortized at the benchmark rate, the escrows added, and the ratio and a rough residual income measured against VA’s guideline and table. Edit any field; the rate shown is the weekly Freddie Mac average and not a quote.
Indiana VA payment estimate
Seeded at Indiana’s median value with no down payment; every field updates the result as you type.
Editable benchmark: 7.03% as of September 24, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not a VA loan quote.
Illustrative starting assumptions: a $220,000 price near Indiana’s median owner-occupied home value, no down payment with full entitlement, a first-use funding fee financed into the loan, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Indiana (U.S. Census Bureau). Every field is editable.
Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conventional benchmark, a market reference and not a VA loan quote; your rate is set by the lender at lock. The funding fee follows VA’s published table for the use and down payment entered; the residual-income figure is VA’s guideline for the region and family size, and the rough residual shown subtracts only the housing payment and the debts entered, while VA also deducts taxes, maintenance and utilities. Taxes, insurance and dues are editable estimates; closing costs are not included. Licensed in sixteen states for consumer mortgages. Lendmire is not affiliated with or acting on behalf of the Department of Veterans Affairs.
Same veteran, three very different closings.
Choosing among VA, FHA, and conventional in Indiana is really choosing an insurance structure and a down payment at the same time. Each is laid out below with the buyer it fits.
VA, FHA, or conventional.
VA fits nearly every Indiana buyer who holds eligibility: the leverage is complete, there is no insurance line in the payment, and the fee is paid once. Partial entitlement, a property that fails VA’s standards, or a fee tier that outweighs a short hold are the cases where another program competes.
FHA’s leverage is high and its credit standard is forgiving, but its insurance never comes off a full-leverage thirty-year loan. An Indiana veteran comparing the two sees the premium line in the FHA payment and nothing in that line on VA. See Lendmire’s FHA loan program.
Conventional financing asks for a down payment and a higher score, in exchange for insurance that cancels and no funding fee. An Indiana veteran with a large down payment and a subsequent-use fee tier should see both programs run on the same numbers. See Lendmire’s conventional loan program.
Where each one fits: VA for the eligible buyer who wants no down payment and no mortgage insurance; FHA for the buyer without eligibility who needs the small investment and the forgiving score; conventional for the buyer with twenty percent down or a strong score who wants cancellable insurance.
What to prepare for an Indiana scenario review.
Gather these before an Indiana review: ordinary mortgage documents plus the proof of service that opens the file.
This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the transaction, the property, entitlement, and the income picture. Nothing here is legal or tax advice.
Local details that can change the loan.
Check these before leaning on any number for Indiana: entitlement, the funding fee tier, the appraisal and VA’s property standards, the condominium approval, residual income, and occupancy.
Use these checks to keep the Indiana file clean and fundable.
An Indiana file that is ready to review has already answered three questions: how much entitlement, what funding fee, and whether the property is inside VA’s rules.
- Confirm the entitlement: the COE states the entitlement available; full entitlement carries no loan limit.
- Know the fee: the fee can be financed, paid at closing, or paid by the seller.
- Structure the contract: certain fees may not be charged to the veteran on a VA file.
Full or remaining entitlement
The COE states the entitlement available, and that single line decides whether an Indiana purchase closes with nothing down at any price the appraisal supports or needs a down payment on the part VA does not back. A veteran keeping an earlier VA-financed home as a rental is the usual remaining-entitlement case, and the file still works.
The funding fee tier and the exemptions
Financed, the fee raises the loan balance and the payment; paid at closing, it raises the cash to close; paid by the seller, it counts toward the concessions cap. Which is best on an Indiana file depends on the tier and on how long the home will be kept, and the loan officer shows all three ways side by side.
Seller concessions and the fees a veteran may not pay
VA also limits what a veteran can be charged: the lender’s flat charge is capped, and certain fees are not allowed on a VA file at all, which is why the contract often has the seller or the lender cover them. An Indiana loan officer reviews the fee sheet against VA’s list before the contract is final.
Two- to four-unit homes and rental income
VA finances owner-occupied homes of up to four units with nothing down and has its own rules for counting rent from the other units: landlord experience or reserves, and a share of the documented rent rather than all of it. An Indiana buyer in one unit qualifies on the combined picture.
Condominium project approval
Many Indiana projects already hold VA approval, but VA keeps its own list rather than accepting FHA’s or the agencies’. The association’s documents, the budget, the owner-occupancy mix, and any litigation all bear on it, and the review takes weeks rather than days.
From an Indiana Certificate of Eligibility to keys in hand.
From the certificate to the closing table, an Indiana VA purchase takes four steps, and each one carries a VA rule inside it.
COE and pre-approval
Start with the Certificate of Eligibility, the income, and the household size. A Lendmire loan officer confirms the entitlement, the funding fee tier, the ratio, and the residual income, runs the VA structure against FHA and conventional on the same numbers, and provides the terms in writing.
Contract and appraisal
With the contract signed, the lender requests a VA-assigned appraiser, who values the Indiana home and checks it against VA’s property requirements; the Notice of Value is issued on the report. Seller concessions are checked against VA’s cap, and any condominium project approval is confirmed.
Underwriting
The file is scored by the automated system or underwritten manually, with income, assets, credit, and residual income documented. Seasoning after a credit event is confirmed from the discharge or transfer papers, the funding fee tier is confirmed from the COE, and the ratio is measured against VA’s guideline.
Closing
At closing the funding fee is added to the loan or paid, the escrows for taxes and insurance are set up, and there is no mortgage insurance to begin. An Indiana buyer signs the note and the security instrument, certifies occupancy, and VA’s guaranty attaches to the loan.
A brokerage that puts the benefit to work.
The case for a brokerage on a VA loan is candor with numbers: VA beside conventional on the same inputs, the fee tier stated outright, the entitlement checked first, and the terms in writing.
Three programs, one set of numbers
Before any recommendation, VA, FHA, and conventional are run on the same Indiana price, income, and down payment. The buyer sees the payment, the insurance or fee line, and the cash to close for each, and the choice follows the figures.
The fee and the entitlement explained before the offer
The certificate fixes two things a buyer should know before signing a contract: the funding fee tier and the entitlement available. Lendmire states both for the Indiana purchase and explains the exemption and the refund rules where they apply.
Licensed, consumer-purpose, in writing
What this page shows are VA’s parameters and the wholesale overlays; what a specific Indiana loan gets is a written set of terms from a licensed loan officer after the review. Lendmire is a broker, never the lender, and has no affiliation with the Department of Veterans Affairs.
Trusted by veterans & families alike.
Indiana VA loan FAQs
The questions below come up on nearly every Indiana VA conversation. The answers are general; the figures in the snapshot above are the program’s current parameters.
What is a VA loan, and who is it for?
A home loan benefit earned through military service. VA does not lend the money; it backs part of a loan a private lender makes, which is what allows the lender to waive the down payment and the mortgage insurance. It fits any eligible Indiana buyer purchasing or refinancing a home they will live in.
Who is eligible for a VA loan in Indiana?
The requirements depend on when and how you served, and VA publishes them by era. An Indiana loan officer can check the service record against them in a few minutes, and the Certificate of Eligibility is the official answer.
How do I get a Certificate of Eligibility?
Online at VA.gov, through the lender, or by mail. Have the service documents ready: the DD-214 for a veteran, a statement of service for a service member, Guard or Reserve records, or the spouse’s documentation. Some certificates issue instantly and some need VA to review the record.
What is the VA funding fee, and do I have to pay it?
The funding fee is a share of the loan paid once, with the amount set by VA’s table in the snapshot; it is waived for several groups and refundable when a disability rating is granted retroactively. On a typical Indiana purchase it is financed, so it raises the balance rather than the cash to close.
Is there a VA loan limit in Indiana?
There is no VA loan limit for a veteran with full entitlement; the lender’s own maximum loan amount, shown in the snapshot, is the practical ceiling. An Indiana buyer with remaining entitlement should ask a loan officer how the county figure affects the file.
Can I buy a duplex or fourplex with a VA loan?
VA finances owner-occupied two- to four-unit homes. An Indiana buyer lives in one unit, the rent from the others counts as VA allows, and the residual-income test runs on the combined picture.
Does a VA loan have mortgage insurance?
No monthly premium and no upfront premium. An Indiana buyer comparing VA with FHA sees the premium line disappear from the payment; comparing with conventional, the private insurance disappears as well.
What happens after my Indiana offer is accepted?
In order: the appraisal and property check, the project approval where the home is a condominium, the underwriting with residual income documented, and the closing with the fee applied or waived. Your loan officer sets the schedule for the specific file.
What does a VA appraisal check?
It checks what the home is worth and whether it meets VA’s requirements. Older Indiana homes draw required repairs more often; most are settled before closing, and the escape clause protects the deposit if the value falls short and the price cannot be renegotiated.
How does a VA refinance work?
It depends on the goal: lower the payment on an existing VA loan by IRRRL, or borrow against equity or move a non-VA loan into the program by cash-out. Each has its own fee and seasoning rules, summarized in the snapshot.
An Indiana VA loan sized to the price, the entitlement, and the budget.
Begin with a scenario review: the Certificate of Eligibility, the price, the income, and the household size. A licensed Lendmire loan officer runs VA beside FHA and conventional on the same numbers and puts the terms in writing.
This guide covers Indiana — for the program overview, see Lendmire’s VA loan program.
All Indiana city guides (6): Carmel · Evansville · Fishers · Fort Wayne · Indianapolis · South Bend
Related programs: Conventional Loans · FHA Loans · Jumbo Loans