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Get Matched Free →Homebuyer Programs in Terre Haute, IN (2026)
Terre Haute is a city in western Indiana and the county seat of Vigo County, home to Indiana State University and a median home price of approximately $155,000. Homebuyers in Terre Haute benefit from a solid mix of local and state assistance programs. The United Way of the Wabash Valley offers a Home Down Payment Assistance Program providing up to $4,000 for qualifying buyers under 80% AMI. The IHCDA First Place Program offers up to 6% of the purchase price as a forgivable loan, while the FHLBank Indianapolis Launch program provides up to $20,000 in grant funds for qualifying first-time buyers. The Hoosier Homes program offers up to 5% toward down payment and closing costs for buyers in Vigo County. Wabash Valley Habitat for Humanity also provides 0% interest mortgage financing for qualifying families. By combining these local, state, and regional programs, Terre Haute buyers can significantly reduce their out-of-pocket costs.
State Programs in Indiana
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| IHCDA First Place Program | Forgivable Loan | Up to 6% of the purchase price | Yes | View → |
| IHCDA Mortgage Credit Certificate (MCC) | Tax Credit | Up to $2,000 per year in federal tax credits | Yes | View → |
| IHCDA Next Home Program | Forgivable Loan | Up to 3.5% of the purchase price (FHA) or 3% (Conventional) | No | View → |
- Type:
- Forgivable Loan
- Amount:
- Up to 6% of the purchase price
- First-time only:
- Yes
- Type:
- Tax Credit
- Amount:
- Up to $2,000 per year in federal tax credits
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to 3.5% of the purchase price (FHA) or 3% (Conventional)
- First-time only:
- No
Federal Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHA Loans | Government-Insured Mortgage | Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026) | No | View → |
| FHLBA Community Partners Product | Forgivable Loan | Up to $20,000 in home purchase assistance for down payment and closing costs | No | View → |
| FHLBA First Time Homebuyer Product | Forgivable Loan | Up to $17,500 in home purchase assistance for down payment and closing costs | Yes | View → |
| FHLBA Workforce Housing Plus+ | Forgivable Loan | Up to $15,000 in home purchase assistance for down payment and closing costs | No | View → |
| Good Neighbor Next Door (HUD) | Government Property Sale Program | 50% discount off the list price of HUD-owned homes | Yes | View → |
| Home Possible Mortgage (Freddie Mac) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HomeReady Mortgage (Fannie Mae) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HUD $100 Down Program | FHA-Financed HUD REO Purchase | Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs. | No | View → |
| USDA Rural Development Loans | Government-Guaranteed Mortgage | 100% financing (no down payment required); loan amount up to appraised value | No | View → |
| VA Loans | Government-Guaranteed Mortgage | No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026) | No | View → |
- Type:
- Government-Insured Mortgage
- Amount:
- Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $20,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $17,500 in home purchase assistance for down payment and closing costs
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to $15,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Government Property Sale Program
- Amount:
- 50% discount off the list price of HUD-owned homes
- First-time only:
- Yes
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
- First-time only:
- No
- Type:
- FHA-Financed HUD REO Purchase
- Amount:
- Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- 100% financing (no down payment required); loan amount up to appraised value
- First-time only:
- No
- Type:
- Government-Guaranteed Mortgage
- Amount:
- No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
- First-time only:
- No
Nonprofit Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHLBank Indianapolis Launch Down Payment Assistance | Grant | Up to $20,000 | Yes | View → |
| Hoosier Homes Down Payment Assistance | Forgivable Loan | Up to 5% of the purchase price | No | View → |
| United Way of the Wabash Valley Home Down Payment Assistance Program | Grant | Up to 5% of purchase price (3% down payment + 2% closing costs) for homes up to $80,000; max $4,000 for homes over $80,000 | No | View → |
| Wabash Valley Habitat for Humanity Homeownership Program | Zero-Interest Loan | Affordable 0% interest mortgage financing | Yes | View → |
- Type:
- Grant
- Amount:
- Up to $20,000
- First-time only:
- Yes
- Type:
- Forgivable Loan
- Amount:
- Up to 5% of the purchase price
- First-time only:
- No
- Type:
- Grant
- Amount:
- Up to 5% of purchase price (3% down payment + 2% closing costs) for homes up to $80,000; max $4,000 for homes over $80,000
- First-time only:
- No
- Type:
- Zero-Interest Loan
- Amount:
- Affordable 0% interest mortgage financing
- First-time only:
- Yes
How to Apply
Check your eligibility. Most programs require household income at or below 80% of the area median income for Vigo County. Review the IHCDA income and acquisition price limits for your household size.
Complete homebuyer education. The United Way of the Wabash Valley DPA program requires a financial literacy course. Most state programs also require HUD-approved homebuyer education. Contact the United Way at (812) 235-6287 for information on available courses.
Connect with a local housing partner. United Way of the Wabash Valley at 100 S. 7th St, Terre Haute, IN 47807 can help you access up to $4,000 in down payment and closing cost assistance. Wabash Valley Habitat for Humanity at (812) 234-0707 also provides affordable homeownership opportunities for qualifying families.
Get pre-approved for a mortgage. Work with an IHCDA-approved lender to access the First Place or Next Home programs. Ask your lender about FHLBank Indianapolis Launch funds, which provide up to $20,000 for qualifying first-time buyers at or below 80% AMI.
Find a home within program limits. Check IHCDA acquisition price limits for Vigo County. The United Way DPA program provides up to 5% assistance on homes up to $80,000, or a maximum of $4,000 for higher-priced homes.
Submit your applications. Contact United Way at (812) 235-6287 to apply for their DPA program. Your IHCDA-approved lender will help you apply for state programs at closing. FHLBank Launch funds are applied for through your participating lender on a first-come, first-served basis.