Short answerBuyers in Indiana typically pay lender fees, the appraisal, the lender's title insurance policy, half the closing fee, recording fees, and prepaid items such as insurance and escrow deposits. Plan on roughly 2% to 4% of the price, though it varies by loan. Indiana has no deed transfer tax, and the seller customarily pays for the owner's title policy.
Typical Indiana buyer costs
| Cost | Notes |
|---|---|
| Lender fees and any points | On your Loan Estimate |
| Appraisal | Ordered by the lender |
| Lender's title policy | Buyer customarily pays in Indiana |
| Closing or settlement fee | Customarily split with the seller |
| Recording fees | Buyer customarily pays |
| Survey, if required | Buyer customarily pays |
| Prepaid items | First year of insurance and escrow deposits for taxes and insurance |
| Upfront mortgage insurance or funding fee | FHA, VA, USDA; often financed |
| Inspections | Paid before closing |
Ways to lower cash at closing
- Ask for a seller concession within your loan's limits.
- Compare Loan Estimates from more than one lender.
- Look at IHCDA assistance.
Loan rules and rates change and depend on your file. Your lender has the final word on what you qualify for.
Frequently asked questions
Who pays title insurance in Indiana?
By custom the seller pays for the owner's policy and the buyer pays for the lender's policy, but the contract can change that.
Is there a transfer tax in Indiana?
No.
Keep reading
Looking at a house and not sure what you are getting into?
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Sources
Written by John Long, REALTOR®, 1 Percent Lists Indiana Real Estate. Working contractor who has priced hundreds of home inspection repair requests. Former labor relations negotiator for a major manufacturer and U.S. Coast Guard veteran.
John Long, REALTOR® · 1 Percent Lists Indiana Real Estate · (812) 525-5489 · yourpropertynegotiator.com
This page is general information, not a substitute for a professional home inspection, and not legal, tax, insurance, or lending advice. Ask a real estate attorney about contracts and disclosure, a CPA about taxes, your lender about loan rules, and a licensed inspector or tradesperson about your house. Nothing here guarantees a sale price, net proceeds, repair cost, payment, timeline, appraisal, inspection result, or loan approval. Cost figures are planning estimates, not bids. I own Wardmark Property Operations LLC, a contracting company. You are always free to use any contractor you choose.