Michigan City FHA Loan Rates, Closing Costs & Stats

MICHIGAN CITY-LA PORTE, IN

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    • FHA loans are mortgages created in the 1930's to help insulate lenders from credit risks and help promote home ownership. The Federal Housing Administration (hence, FHA) allows for lower downpayments and credit scores-- making these loans much more accessible than traditional mortgages.

    FHA loans typically need just a 3.5% downpayment with credit scores of 580 or better. For credit scores between 500-579, the downpayment needs to be at least 10%.

    While FHA loans make home ownership much more accessible to first-time homebuyers, they do require PMI (purchase money insurance)-- an additional insurance premium that is paid to the FHA to help cover defaults.

    For additional requirements as defined by the FHA, click here.

    Michigan City's 71 lenders originated 360 FHA loans during 2024. The total origination value was $75,480,000, with an average FHA loan value of $209,667.

    Michigan City FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Michigan City averaged 7.02% for the week of 2025-07-11, compared to the national average (all FHA variants) of 6.523% for the same period.

    Michigan City's average FHA mortgage closing costs are $6,466.

    The average rate for the prior week (2025-07-04) was 6.76% and one month ago for the week of 2025-06-06, the average rate was 6.99%.

    The average rate one year ago was 7.12%.

    For refis of the same type during the week of 2025-07-11, the average rate was 6.95%.

    Click on whitespace and scroll within the chart to zoom in/out. Larger bubbles equate with more originations.

    Michigan City FHA Loan Lenders by Rates & Fees

    The below table looks at the average fees/closing costs and rates for FHA 30 Year Fixed Rate (purchase, first lien) mortgages originated by each lender at the Michigan City level.

    Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
    QUICKEN LOANS, LLC 44 6.40% $9,929
    INSPIRE HOME LOANS INC. 24 5.43% $9,787
    FREEDOM MORTGAGE CORPORATION 15 6.48% $9,973
    HALLMARK HOME MORTGAGE, LLC 14 7.06% $8,633
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 12 6.72% $8,264
    GUILD MORTGAGE COMPANY 12 6.78% $9,562
    LOANDEPOT.COM, LLC 10 6.22% $11,843
    BROKER SOLUTIONS, INC. 10 6.89% $9,701
    RUOFF MORTGAGE COMPANY, INC. 9 6.79% $6,255
    UNITED WHOLESALE MORTGAGE, LLC 9 6.13% $12,299
    LOANPAL, LLC 8 5.56% $9,584
    DIAMOND RESIDENTIAL MORTGAGE CORPORATION 8 7.27% $9,368
    MICHIGAN MUTUAL, INC. 8 6.66% $8,685
    NEWREZ LLC 8 6.41% $7,733
    PENNYMAC LOAN SERVICES, LLC 7 6.41% $9,718
    UNION HOME MORTGAGE CORP. 7 6.98% $8,912
    Fifth Third Bank 7 6.30% $6,779
    Ixonia Bank 5 6.75% $11,619
    Equity Prime Mortgage LLC 5 6.50% $11,487
    GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 5 6.62% $9,955
    GUARANTEED RATE, INC. 5 6.36% $8,741
    Centier Bank 5 6.90% $5,791
    Carrington Mortgage Services, LLC 5 6.18% $11,536
    CROSSCOUNTRY MORTGAGE, LLC 4 6.14% $9,193
    DIRECT MORTGAGE LOANS, LLC 4 6.72% $13,416
    FIRST COMMUNITY MORTGAGE, INC. 4 7.16% $7,788
    AMERICAN FINANCIAL NETWORK, INC. 4 6.81% $9,588
    Horizon Bank 4 6.59% $6,526
    TEACHERS CREDIT UNION 3 5.92% $6,739
    American Mortgage & Equity Consultants, Inc. 3 7.08% $10,725
    POINT Mortgage 3 6.54% $8,332
    ZILLOW HOME LOANS, LLC 2 6.50% $9,587
    AmeriHome Mortgage Company, LLC 2 6.75% $8,415
    AMERISAVE MORTGAGE CORPORATION 2 6.44% $18,288
    ARK-LA-TEX FINANCIAL SERVICES, LLC. 2 7.13% $8,613
    JPMorgan Chase Bank 2 6.38% $5,155
    Key Mortgage Services, Inc. 2 7.00% $7,913
    LEADERONE FINANCIAL CORPORATION 2 6.88% $7,814
    Mortgage Research Center, LLC 2 6.63% $3,207
    Mr. Cooper ( Nationstar Mortgage ) 2 6.75% $8,885
    PLAZA HOME MORTGAGE, INC. 2 6.62% $7,283
    The Federal Savings Bank 2 6.31% $16,155
    VILLAGE CAPITAL MORTGAGE 2 6.63% $8,309
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 1 5.25% $10,572
    MOVEMENT MORTGAGE, LLC 1 7.25% $8,970
    Allied First Bank,sb 1 6.99% $6,992
    MUTUAL OF OMAHA MORTGAGE, INC. 1 5.75% $11,314
    EVERETT FINANCIAL, INC. 1 7.00% $11,088
    Northpointe Bank 1 7.13% $8,766
    ON Q FINANCIAL, INC. 1 7.25% $8,737
    Cornerstone First Mortgage, Inc 1 7.75% $13,213
    PHH Mortgage Corporation 1 6.50% $6,205
    PLANET HOME LENDING, LLC 1 6.38% $6,316
    VERITAS FUNDING, LLC 1 6.25% $11,031
    COMPASS MORTGAGE, INC. 1 6.25% $7,369
    PRIMELENDING, A PLAINSCAPITAL COMPANY 1 6.63% $8,245
    PROPER RATE, LLC 1 6.75% $7,238
    Prosperity Home Mortgage, LLC 1 6.25% $9,158
    CALCON MUTUAL MORTGAGE LLC 1 6.99% $5,304
    RELIANCE FIRST CAPITAL, LLC 1 6.13% $7,637
    Bank of England 1 6.63% $9,453
    Servion, Inc. 1 6.63% $8,984
    STOCKTON MORTGAGE CORPORATION 1 7.13% $7,831
    AMERICAN PACIFIC MORTGAGE CORPORATION 1 7.13% $6,616
    1st Source Bank 1 7.13% $5,354
    The Huntington National Bank 1 5.75% $12,416
    INOVA FEDERAL CREDIT UNION 1 6.13% $6,152
    HOMESIDE FINANCIAL, LLC 1 6.25% $12,149
    Loan Simple, Inc. 1 6.63% $10,936
    FAIR WAY LENDING LLC 1 6.00% $6,199
    MID AMERICA MORTGAGE, INC. 1 6.88% $9,293

    The top Michigan City FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 44 FHA loans originated. Their average total fees are $9,929, which is $142 higher than the next largest lender, INSPIRE HOME LOANS INC..

    The lowest fee Michigan City FHA lenders (with over 10 loans originated) are FAIRWAY INDEPENDENT MORTGAGE CORPORATION ($8,264), HALLMARK HOME MORTGAGE, LLC ($8,633), GUILD MORTGAGE COMPANY ($9,562), BROKER SOLUTIONS, INC. ($9,701) and INSPIRE HOME LOANS INC. ($9,787).

    The lowest rate Michigan City FHA lenders (with over 10 loans originated) are INSPIRE HOME LOANS INC. (5.43%), LOANDEPOT.COM, LLC (6.22%), QUICKEN LOANS, LLC (6.40%), FREEDOM MORTGAGE CORPORATION (6.48%) and FAIRWAY INDEPENDENT MORTGAGE CORPORATION (6.72%).

    Michigan City FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    MICHIGAN CITY-LA PORTE, IN LAPORTE 2022 $420,680 $538,650 $651,050 $809,150
    MICHIGAN CITY-LA PORTE, IN LAPORTE 2023 $472,030 $604,400 $730,525 $907,900

    FHA Loan Requirements

  • Borrowers must have a steady employment history or worked for the same employer for the past two years.
  • Borrowers must have a valid Social Security number, lawful residency in the U.S. and be of legal age to sign a mortgage in your state.
  • Borrowers must pay a minimum down payment of 3.5 percent. The money may be gifted by a family member. (Traditional mortgages do not permit gifted down payments)
  • New FHA loans are only available for primary residence occupancy.
  • Borrowers must have a property appraisal from a FHA-approved appraiser.
  • Borrowers’ front-end ratio (mortgage payment plus HOA fees, property taxes, mortgage insurance, homeowners insurance) needs to be less than 31 percent of their gross income, typically. You may be able to get approved with as high a percentage as 40 percent. Your lender will be required to provide justification as to why they believe the mortgage presents an acceptable risk. The lender must include any compensating factors used for loan approval.
  • Borrowers’ debt to income ratio (mortgage plus all your monthly debt, i.e., credit card payment, car payment, student loans, etc.) needs to be less than 43 percent of their gross income, typically. You may be able to get approved with as high a percentage as 50 percent.
  • Borrowers must have a minimum credit score of 580 for maximum financing with a minimum down payment of 3.5 percent.
  • Borrowers must have a minimum credit score of 500-579 for maximum LTV of 90 percent with a minimum down payment of 10 percent.
  • Bborrowers must be two years out of bankruptcy and have re-established good credit. Exceptions can be made.
  • Typically borrowers must be three years out of foreclosure and have re-established good credit.
  • The purchased property must meet certain minimum standards at appraisal. If the home you are purchasing does not meet these standards and a seller will not agree to the required repairs, your only option is to pay for the required repairs at closing (to be held in escrow until the repairs are complete).