Cost to Own
United StatesIndianaMarion CountyIndianapolis Population 882,043 Data vintage ACS 2023 5-Year Rates updated 2026-08-20
Before you budget for Indianapolis FEMA rates natural hazard risk in Marion County Relatively High, with tornado its highest-ranked hazard against other US counties. It shapes what insurers charge here. See what threatens homes in this county

Total monthly cost of ownership

Cost to Own a Home in Indianapolis, Indiana

A $207,000 home here costs

$1,716

per month, all in, with 20% down at today's 6.65% 30-year fixed rate. By the 28% rule that takes a household income of about $73,500 a year.

P&I 62%Tax 9%Insurance 5%Utilities 13%Upkeep 10%

A standard mortgage calculator would have told you $1,063. The real number is $653 higher every month, 61% more than the payment most buyers budget for.

Compare Marion County with anywhere in America · full county breakdown

Indianapolis median: $207,000
Under 20% adds PMI
Freddie Mac PMMS
IN average household

Where every dollar goes

Only the first line is a mortgage payment. Change any assumption above and every figure below recalculates.

Principal & interest30-year fixed, $165,600 borrowed $1,063
Property tax0.929% effective rate for Indianapolis itself $160
Homeowners insuranceIndiana averages $1,058/yr (NAIC), or 0.512% of home value $88
Electricity18.15ยข/kWh, Indiana residential average, EIA $164
Water, sewer & trashUS household average $68
Maintenance reserve1% of home value per year $173
Total monthly $1,716

Indianapolis against Marion County and Indiana

MeasureIndianapolisMarion County
Median home value$207,000$207,000
Median property tax$1,924$1,923
Effective tax rate0.929%0.929%
Median gross rent$1,112$1,107
Population882,043971,822

The weather behind that power bill

Indianapolis sits in Marion County, which averages a high of 85.2°F in its hottest month and a low of 21.2°F in its coldest, with 40.67" of precipitation a year and 34% of it in a single three-month stretch. That climate drives 1,127 cooling and 5,221 heating degree days, which is what sets the $164 electricity line above.

See the full climate breakdown for Marion County , month by month temperatures, rainy season timing, snowfall and heating and cooling costs.

Other cities in Marion County

Full Marion County cost breakdown · Every county in Indiana

Talk to someone who works this market

These are Indianapolis averages. What one specific house costs to own, or what it would sell for today, depends on the street and the condition of the place. We will connect you with one licensed local agent who works Indianapolis every week. Free, no obligation, and we never sell your details to a list.

I'm looking to buy in Indianapolis I already own here and may sell

Common questions

How much does it cost to own a home in Indianapolis?

A $207,000 home in Indianapolis, Indiana costs approximately $1,716 per month with 20% down at 6.65%. That is $1,063 principal and interest, $160 property tax, $88 homeowners insurance, $232 utilities and $173 set aside for maintenance.

What is the property tax rate in Indianapolis?

Indianapolis has an effective property tax rate of 0.929%, based on a median home value of $207,000 and median real estate taxes of $1,924. That is in line with the Marion County average of 0.929%.

What is the average home price in Indianapolis?

The median owner-occupied home value in Indianapolis, Indiana is $207,000, against $207,000 across Marion County.

Is it cheaper to rent or buy in Indianapolis?

Median gross rent in Indianapolis is $1,112 a month, against $1,716 to own the median home all in. Renting costs less month to month here, though renting builds no equity.

What salary do you need to buy a home in Indianapolis?

Using the standard 28% rule, housing costs at no more than 28% of gross income, buying the median home in Indianapolis, Indiana at today's rate takes a household income of roughly $73,500 a year. That covers the full $1,716 monthly cost, not just the mortgage payment.

Sources & methodology

  • Median home value, real estate taxes, gross rent and population for Indianapolis, US Census Bureau, American Community Survey ACS 2023 5-Year, place-level tables.
  • Homeowners insurance, NAIC average premium for Indiana.
  • Electricity price, EIA Electric Power Monthly Table 5.6.A.
  • Mortgage rate, Freddie Mac PMMS, refreshed weekly.
  • Maintenance (1%/yr) and water and sewer ($68/mo) are national estimates. Every assumption above is editable.

Full methodology