Best Refinance Lenders in Indiana 2026: Top 8 Ranked
Michelle Brown
Indiana Refinance Expert | 17+ Years Experience
January 22, 2026
Looking for the best refinance lenders in Indiana? Indiana homeowners can save $200-$400/month by refinancing in 2026. These 8 lenders offer the lowest rates and fastest closings.
6.10%
Avg Refi Rate
$280
Avg Monthly Savings
28 days
Avg Close Time
$3,200
Avg Closing Costs
🏆 Top 8 Refinance Lenders Indiana 2026
Better.com - Best Refinance Lender Indiana
8,400+ IN refis
Why #1:
- 💰 Lowest rates: 6.00%-6.20% APR
- ⚡ Close in 25 days average
- 🏆 100% online process
- 📍 Strong in Indianapolis metro
- 🎯 No lender fees option
Best For:
Indiana homeowners wanting lowest rates + fast digital process
📊 Indiana Refinance Rates by City 2026
| City | Avg Rate | Monthly Savings |
|---|---|---|
| Indianapolis | 6.10% | $295/month |
| Fort Wayne | 6.15% | $275/month |
| Evansville | 6.20% | $260/month |
| South Bend | 6.18% | $270/month |
💰 3 Types of Refinance in Indiana
1. Rate-and-Term Refinance
Goal: Lower your rate or change loan term
Best for:
- Current rate 7%+ → Refinance to 6.10%
- Save $200-$400/month
- Break even in 12-18 months
2. Cash-Out Refinance
Goal: Access home equity for cash
Best for:
- Home improvements ($50K-$100K)
- Debt consolidation
- College tuition
- Rates: 6.25%-6.50% (0.15% higher)
3. FHA Streamline Refinance
Goal: Fast refinance for FHA borrowers
Best for:
- Current FHA loan holders
- No appraisal required
- Close in 20-25 days
- Lower closing costs
✅ Indiana Refinance Requirements 2026
Basic Requirements
Credit Score:
620+ (740+ for best rates)
Home Equity:
20%+ equity recommended
DTI Ratio:
43% max
Current Loan:
6+ months payment history
Costs & Timing
Closing Costs:
2-5% of loan ($6K-$15K on $300K)
Appraisal:
$500-$700 (waived sometimes)
Timeline:
25-35 days to close
Break-Even:
12-24 months typical
❓ FAQ: Indiana Refinance 2026
Should I refinance my Indiana mortgage in 2026?
YES, if you meet these criteria:
- Rate drop: Your current rate is 0.75%+ higher than today's rates
- Break-even: You'll stay in home 2+ years
- Credit improved: Your score increased 50+ points
- Need cash: You have 20%+ equity and need funds
Example: Current 7.5% → Refinance to 6.10% = Save $280/month on $300K loan
How much does it cost to refinance in Indiana?
Indiana Refinance Closing Costs (2026):
- Total: 2-5% of loan amount
- $200K loan: $4,000-$10,000
- $300K loan: $6,000-$15,000
Breakdown:
- Appraisal: $500-$700
- Title insurance: $1,000-$2,000
- Origination fee: 0.5-1% ($1,500-$3,000 on $300K)
- Recording fees: $200-$400
Can I do a cash-out refinance in Indiana?
YES! Indiana allows cash-out refinancing.
Requirements:
- 20%+ equity remaining after cash-out
- 620+ credit score
- 43% max DTI
Example: $300K home, $200K owed
- Current equity: $100K (33%)
- Max cash-out: $40K (keep 20% equity)
- New loan: $240K
- Rate: 6.25%-6.50% (0.15% higher)