Lafayette FHA Loan Rates, Closing Costs & Stats

LAFAYETTE-WEST LAFAYETTE, 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.

    Lafayette's 79 lenders originated 579 FHA loans during 2024. The total origination value was $145,185,000, with an average FHA loan value of $250,751.

    Lafayette FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Lafayette averaged 6.87% for the week of 2025-07-18, compared to the national average (all FHA variants) of 6.527% for the same period.

    Lafayette's average FHA mortgage closing costs are $6,135.

    The average rate for the prior week (2025-07-11) was 6.77% and one month ago for the week of 2025-06-13, the average rate was 6.73%.

    The average rate one year ago was 6.79%.

    For refis of the same type during the week of 2025-07-18, the average rate was 6.32%.

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

    Lafayette 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 Lafayette level.

    Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
    RUOFF MORTGAGE COMPANY, INC. 66 6.91% $7,301
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 51 6.87% $8,067
    QUICKEN LOANS, LLC 40 6.53% $9,218
    UNITED WHOLESALE MORTGAGE, LLC 25 6.47% $10,174
    FREEDOM MORTGAGE CORPORATION 21 6.40% $11,157
    CALCON MUTUAL MORTGAGE LLC 19 6.74% $9,464
    NEWREZ LLC 16 6.48% $9,468
    FAIR WAY LENDING LLC 16 6.79% $6,911
    First Merchants Bank 11 6.65% $8,251
    GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 11 6.34% $10,189
    HALLMARK HOME MORTGAGE, LLC 10 6.92% $8,541
    Carrington Mortgage Services, LLC 10 6.21% $10,962
    Regions Bank 10 6.23% $8,007
    PENNYMAC LOAN SERVICES, LLC 10 6.36% $7,768
    Old National Bank 10 5.91% $7,906
    LOANPAL, LLC 10 5.95% $10,394
    LOANDEPOT.COM, LLC 9 6.69% $10,656
    Flanagan State Bank 9 6.69% $10,018
    CMG MORTGAGE, INC. 9 6.63% $11,649
    STOCKTON MORTGAGE CORPORATION 8 6.72% $9,044
    The Huntington National Bank 8 6.47% $6,806
    MOVEMENT MORTGAGE, LLC 7 6.52% $7,596
    AMERISAVE MORTGAGE CORPORATION 7 5.88% $13,561
    MJW Financial LLC 6 6.69% $9,859
    Prosperity Home Mortgage, LLC 6 6.44% $8,287
    CROSSCOUNTRY MORTGAGE, LLC 6 6.70% $9,751
    Wolfe Financial, Inc 6 6.92% $7,575
    VANDERBILT MORTGAGE AND FINANCE, INC. 5 5.82% $16,334
    LAKEVIEW LOAN SERVICING, LLC 5 6.63% $6,928
    ENDEAVOR CAPITAL, LLC. 4 6.47% $6,389
    Equity Prime Mortgage LLC 4 5.94% $12,467
    BROKER SOLUTIONS, INC. 4 7.13% $11,359
    SUCCESS MORTGAGE PARTNERS, INC. 4 6.47% $10,172
    First Option Mortgage, LLC 4 6.47% $9,975
    AMERICAN FINANCIAL NETWORK, INC. 4 5.84% $13,662
    AMERICAN FINANCING CORPORATION 4 6.50% $10,566
    MUTUAL OF OMAHA MORTGAGE, INC. 4 6.91% $12,022
    JPMorgan Chase Bank 4 6.72% $7,103
    Mr. Cooper ( Nationstar Mortgage ) 3 6.67% $15,436
    VILLAGE CAPITAL MORTGAGE 3 6.56% $4,551
    GVC MORTGAGE, INC. 3 6.42% $7,430
    HOMESIDE FINANCIAL, LLC 3 6.50% $11,338
    Mortgage Research Center, LLC 3 6.66% $5,723
    Centier Bank 3 6.08% $8,650
    CARDINAL FINANCIAL 2 6.25% $11,119
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 2 6.56% $14,213
    EMM LOANS LLC 2 6.06% $14,466
    Horizon Bank 2 6.56% $7,803
    PLANET HOME LENDING, LLC 2 6.43% $5,462
    RELIANCE FIRST CAPITAL, LLC 2 6.81% $15,092
    ROYAL UNITED MORTGAGE LLC 2 6.94% $8,885
    TEACHERS CREDIT UNION 2 6.56% $9,433
    OPEN MORTGAGE, LLC 1 6.25% $13,039
    Paramount Residential Mortgage Group, Inc. 1 6.25% $9,903
    HOMEBRIDGE FINANCIAL SERVICES, INC. 1 6.50% $6,587
    PENTAGON FEDERAL CREDIT UNION 1 6.63% $9,628
    Acre Mortgage and Financial Inc 1 7.13% $13,939
    POLARIS HOME FUNDING CORP. 1 6.50% $10,416
    PRIMELENDING, A PLAINSCAPITAL COMPANY 1 7.63% $8,025
    GUILD MORTGAGE COMPANY 1 6.38% $9,050
    GUARANTEED RATE, INC. 1 6.75% $4,388
    GENEVA FINANCIAL, LLC 1 6.13% $8,417
    American Mortgage & Equity Consultants, Inc. 1 7.25% $9,530
    AMERICAN FINANCIAL RESOURCES, INC. 1 7.75% $11,303
    FLAT BRANCH MORTGAGE, INC. 1 6.50% $9,644
    Sierra Pacific Mortgage Company, Inc. 1 6.25% $8,501
    Flagstar Bank, FSB 1 6.25% $5,977
    Stock Yards Bank & Trust Company 1 6.63% $6,807
    First Financial Bank 1 6.88% $5,895
    SUN WEST MORTGAGE COMPANY, INC. 1 7.25% $9,989
    ZILLOW HOME LOANS, LLC 1 6.75% $6,607
    ENVOY MORTGAGE, LTD 1 6.13% $12,988
    UNION HOME MORTGAGE CORP. 1 6.63% $7,486
    Elements Financial Federal Credit Union 1 6.25% $9,387
    University Bank 1 6.75% $10,740
    MORTGAGE ACCESS CORP. 1 7.25% $16,752
    MILESTONE HOME LENDING, LLC 1 6.25% $9,063
    JLB CORPORATION 1 6.50% $9,822
    Ixonia Bank 1 7.13% $7,766

    The top Lafayette FHA lender as defined by loan originations is RUOFF MORTGAGE COMPANY, INC., with 66 FHA loans originated. Their average total fees are $7,301, which is $766 lower than the next largest lender, FAIRWAY INDEPENDENT MORTGAGE CORPORATION.

    The lowest fee Lafayette FHA lenders (with over 10 loans originated) are FAIR WAY LENDING LLC ($6,911), RUOFF MORTGAGE COMPANY, INC. ($7,301), PENNYMAC LOAN SERVICES, LLC ($7,768), Old National Bank ($7,906) and Regions Bank ($8,007).

    The lowest rate Lafayette FHA lenders (with over 10 loans originated) are Old National Bank (5.91%), LOANPAL, LLC (5.95%), Carrington Mortgage Services, LLC (6.21%), Regions Bank (6.23%) and GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION (6.34%).

    Lafayette FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    LAFAYETTE-WEST LAFAYETTE, IN BENTON 2022 $420,680 $538,650 $651,050 $809,150
    LAFAYETTE-WEST LAFAYETTE, IN CARROLL 2022 $420,680 $538,650 $651,050 $809,150
    LAFAYETTE-WEST LAFAYETTE, IN TIPPECANOE 2022 $420,680 $538,650 $651,050 $809,150
    LAFAYETTE-WEST LAFAYETTE, IN WARREN 2022 $420,680 $538,650 $651,050 $809,150
    LAFAYETTE-WEST LAFAYETTE, IN BENTON 2023 $472,030 $604,400 $730,525 $907,900
    LAFAYETTE-WEST LAFAYETTE, IN CARROLL 2023 $472,030 $604,400 $730,525 $907,900
    LAFAYETTE-WEST LAFAYETTE, IN TIPPECANOE 2023 $472,030 $604,400 $730,525 $907,900
    LAFAYETTE-WEST LAFAYETTE, IN WARREN 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).