Indiana Property Tax Calculator

Published on July 31st, 2025

Joseph Gordon Editor
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Joseph Gordon is an Editor with HomeLight. He has several years of experience reporting on the commercial real estate and insurance industries.

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What is the Property Tax Rate in Indiana?

Based on HomeLight’s analysis of publicly available data, the average effective property tax rate for a primary residence in Indiana is approximately 2.3% of its estimated value. This is higher than the national average of 0.90%.

For example, with a 2.3% effective tax rate, a homeowner with a $275,000 home might pay around $4,025 in annual property taxes.

An effective property tax rate represents the actual percentage of a property’s market value that a homeowner pays in taxes, considering the assessed value and any exemptions or deductions.

Note: HomeLight’s Indiana property tax calculator provides a ballpark estimate for a primary residence using average rates. Your tax can vary based on location and the specific taxing districts (e.g., schools, fire districts, and libraries) that apply to your parcel. For a more precise number, contact Indiana’s Department of Local Government Finance’s assessor directory.

Are There Property Tax Exemptions in Indiana?

Homeowners in Indiana may qualify for several property tax exemptions that can lower their tax bill. There are several possible exemptions in Indiana, with some of the most common being senior citizen exemptions, a general homestead exemption, and veteran or disability exemptions. These can vary by municipality, but can ultimately reduce your tax burden by the end of the year if you qualify.

When Are Indiana Property Taxes Due?

Property taxes in Indiana are due twice a year, in May and November. Homeowners may pay on the first due date or in two installments.

What Do Property Taxes Pay For in Indiana?

Local property taxes in Indiana pay for important local services, including:

Public schools
Police, fire, and EMS services
Roads, streets, and traffic signals
Parks, libraries, and community centers
City and county government operations
Infrastructure like water, sewer, and trash services
Repayment of local bond projects (such as transit and school improvements)

What Does It Cost to Buy a Home in Indiana?

How Much House Can You Afford?

Affordability in Indiana depends on your income, debt, credit score, and mortgage rate. With a median household income of around $92,643 in the Hoosier State, a buyer might afford a home in the $300,000 range using standard debt-to-income guidelines, which is above the state’s median home price.

Use HomeLight’s Home Affordability Calculator to estimate your budget based on your income, debts, and current rates.

What Down Payment Will You Need in Indiana?

According to Visual Capitalist, the average down payment on a house in Indiana is 12.6%. However, down payment amounts vary widely depending on loan type and credit score. While 20% used to be the expected standard, many buyers put down between 5% and 15%, with 3% options available for FHA and some conventional first-time buyer loans.

For a $275,000 home, here’s what your down payment could look like:

3% down = $8,250
5% down = $13,750
10% down = $27,500
15% down = $41,250
20% down = $55,000

Try HomeLight’s Down Payment Calculator to see how different down payments affect your monthly payment and loan size.

How Much Are Closing Costs in Indiana?

Buyers in Indiana can expect to pay about 2% to 5% of the purchase price in closing costs. These may include:

Loan origination and underwriting fees
Title insurance and escrow fees
Appraisal and inspection costs
Prepaid property taxes and homeowners’ insurance
Filing and recording fees

For a $275,000 home, that means estimated closing costs of $5,500 to $13,750. Use HomeLight’s Closing Costs Calculator to get a personalized estimate based on your expected Indiana home purchase price.

How To Find a Trusted Indiana Real Estate Agent

An experienced Indiana agent can help you understand local tax rates, school districts, and development trends — and guide you toward neighborhoods that fit your lifestyle and budget.

HomeLight’s free Agent Match tool uses data from over 27 million transactions and thousands of verified reviews to match you with top Indiana agents based on proven performance. Tell us a little about your buying plans and get matched today with no obligation.

Additional resources when searching for a trusted buyer’s agent in Indiana:

Buying and Selling? Consider “Buy Before You Sell”

If you’re buying a new home in Indiana but need to sell your current property first, HomeLight’s Buy Before You Sell program can simplify the entire process. This modern solution helps you unlock equity from your current home so you can make a non-contingent offer on your new home — and only move once. Watch the short video below to see how it works.

At HomeLight, our vision is a world where every real estate transaction is simple, certain, and satisfying. Therefore, we promote strict editorial integrity in each of our posts.