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 75 lenders originated 366 FHA loans during 2023. The total origination value was $67,600,000, with an average FHA loan value of $184,699.

    Michigan City FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Michigan City averaged 6.53% for the week of 2024-10-25, compared to the national average (all FHA variants) of 6.253% for the same period.

    Michigan City's average FHA mortgage closing costs are $6,087.

    The average rate for the prior week (2024-10-18) was 6.62% and one month ago for the week of 2024-09-20, the average rate was 6.24%.

    The average rate one year ago was 7.48%.

    For refis of the same type during the week of 2024-10-25, the average rate was 6.35%.

    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 2023 Avg. 30yFix Rate 2023 Avg. Closing Costs
    QUICKEN LOANS, LLC 58 6.33% $8,722
    HALLMARK HOME MORTGAGE, LLC 19 7.03% $8,662
    Horizon Bank 14 6.57% $5,153
    Fifth Third Bank 13 6.19% $4,908
    INSPIRE HOME LOANS INC. 13 5.83% $10,306
    DIAMOND RESIDENTIAL MORTGAGE CORPORATION 12 7.15% $9,182
    LOANDEPOT.COM, LLC 12 6.50% $9,842
    FIRST CENTENNIAL MORTGAGE CORPORATION 9 7.36% $8,157
    FREEDOM MORTGAGE CORPORATION 8 7.03% $9,401
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 8 7.16% $6,440
    RUOFF MORTGAGE COMPANY, INC. 8 7.14% $6,712
    NEWREZ LLC 8 6.67% $7,137
    GUARANTEED RATE, INC. 8 7.08% $8,973
    PENNYMAC LOAN SERVICES, LLC 7 6.18% $8,796
    Centier Bank 7 7.07% $7,071
    AMERISAVE MORTGAGE CORPORATION 7 5.91% $10,525
    UNION HOME MORTGAGE CORP. 6 6.81% $7,817
    Mr. Cooper ( Nationstar Mortgage ) 6 6.17% $12,840
    MICHIGAN MUTUAL, INC. 5 6.83% $8,750
    BROKER SOLUTIONS, INC. 5 7.07% $12,028
    AMERICAN FINANCIAL NETWORK, INC. 5 7.65% $9,116
    TOP FLITE FINANCIAL, INC. 5 7.20% $11,121
    CARDINAL FINANCIAL 5 7.10% $10,370
    FIRST COMMUNITY MORTGAGE, INC. 4 7.34% $8,134
    Bank of England 4 6.50% $9,689
    Plains Commerce Bank 4 7.22% $5,554
    CROSSCOUNTRY MORTGAGE, LLC 4 7.06% $8,465
    UNITED WHOLESALE MORTGAGE, LLC 3 7.40% $6,744
    LEADERONE FINANCIAL CORPORATION 3 7.50% $7,903
    AMERICAN PACIFIC MORTGAGE CORPORATION 3 6.75% $9,385
    The Huntington National Bank 3 6.25% $8,117
    Equity Prime Mortgage LLC 3 6.71% $6,437
    1st Source Bank 3 7.13% $7,012
    GUILD MORTGAGE COMPANY 3 7.29% $10,861
    STOCKTON MORTGAGE CORPORATION 2 7.31% $11,530
    Servion, Inc. 2 6.56% $6,607
    RAPID MORTGAGE COMPANY 2 6.88% $11,157
    JPMorgan Chase Bank 2 6.62% $3,131
    Carrington Mortgage Services, LLC 2 6.38% $7,854
    OCEANSIDE MORTGAGE COMPANY 2 6.69% $3,625
    Ixonia Bank 2 7.00% $9,092
    Wells Fargo Bank 1 6.63% $6,250
    ACADEMY MORTGAGE CORPORATION 1 6.75% $8,265
    AMERICAN FINANCIAL RESOURCES, INC. 1 7.25% $5,811
    American Mortgage & Equity Consultants, Inc. 1 7.75% $5,766
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 1 6.75% $9,566
    AmeriHome Mortgage Company, LLC 1 7.00% $7,684
    Barrington Bank & Trust Company, N.A. 1 6.75% $7,972
    DIRECT MORTGAGE LOANS, LLC 1 6.99% $8,953
    East Coast Capital Corp. 1 6.63% $9,515
    ENDEAVOR CAPITAL, LLC. 1 7.12% $6,641
    EVERETT FINANCIAL, INC. 1 6.88% $11,504
    First Financial Bank 1 7.13% $9,880
    Flagstar Bank, FSB 1 6.75% $9,393
    Flanagan State Bank 1 6.50% $6,926
    GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 1 7.63% $8,620
    GVC MORTGAGE, INC. 1 7.13% $5,173
    HOMEBRIDGE FINANCIAL SERVICES, INC. 1 6.50% $7,134
    HOMESIDE FINANCIAL, LLC 1 6.63% $7,563
    Mortgage Research Center, LLC 1 6.63% $6,107
    MUTUAL OF OMAHA MORTGAGE, INC. 1 6.75% $7,376
    Nations Lending Corporation 1 6.63% $13,275
    ON Q FINANCIAL, INC. 1 6.75% $14,213
    Pacor Mortgage Corp 1 7.13% $12,832
    PENTAGON FEDERAL CREDIT UNION 1 5.38% $12,105
    PHH Mortgage Corporation 1 5.88% $7,231
    PLANET HOME LENDING, LLC 1 5.75% $5,439
    PREMIA MORTGAGE, LLC 1 7.25% $5,983
    PRIMELENDING, A PLAINSCAPITAL COMPANY 1 6.75% $10,350
    Prosperity Home Mortgage, LLC 1 6.62% $14,228
    ROYAL UNITED MORTGAGE LLC 1 7.00% $5,787
    TEACHERS CREDIT UNION 1 6.63% $5,626
    TEXAS TECH 1 7.63% $8,703
    THE ANDERSON FINANCIAL GROUP, INC. 1 7.25% $5,831
    U.S. Bank 1 6.63% $6,903

    The top Michigan City FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 58 FHA loans originated. Their average total fees are $8,722, which is $60 higher than the next largest lender, HALLMARK HOME MORTGAGE, LLC.

    The lowest fee Michigan City FHA lenders (with over 10 loans originated) are Fifth Third Bank ($4,908), Horizon Bank ($5,153), HALLMARK HOME MORTGAGE, LLC ($8,662), QUICKEN LOANS, LLC ($8,722) and DIAMOND RESIDENTIAL MORTGAGE CORPORATION ($9,182).

    The lowest rate Michigan City FHA lenders (with over 10 loans originated) are INSPIRE HOME LOANS INC. (5.83%), Fifth Third Bank (6.19%), QUICKEN LOANS, LLC (6.33%), LOANDEPOT.COM, LLC (6.50%) and Horizon Bank (6.57%).

    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).