Summary of Indiana's Foreclosure Laws

If you are facing foreclosure in Indiana, it’s important to understand some of the basics, including:

the most common type of foreclosure procedure (judicial v. nonjudicial) used in Indiana
how much time you have to respond
your rights and protections in the process, and
what happens afterwards (for example, whether you’ll be liable for a deficiency judgment).

Below we have outlined some of the most important features of Indiana foreclosure law. Keep in mind that this is just a summary; we’ve included statute citations so you can get more details from the laws themselves. And be sure to check out Nolo’s extensive Foreclosure section, where you can find information about all aspects of foreclosure, definitions of foreclosure terms (like redemption and reinstatement), and options to avoid foreclosure.

Topic	State Rule
Common type of foreclosure process	Judicial
Time to respond	Foreclosing party must give homeowner 30 days’ notice before filing foreclosure complaint. The notice (a copy of first publication of notice of sale which must be made once a week for three consecutive weeks, the first publication to be made at least 30 days before action commenced) must be personally served on borrower. After the complaint is filed, house can’t be sold for three months for mortgages signed after July 1, 1975, and longer for earlier mortgages.
Reinstatement of loan before sale	Available for high-cost home loans (defined in Ind. Code § 24-9-2-8 ), any time before sale
Redemption after sale	Available any time before the final judgment.
Special protections for foreclosures involving high-cost mortgages	Penalties for violations; violations may also be used to fight foreclosure by rescinding loan under HOEPA (see Ch. 7). Not applicable to loans taken up or guaranteed in secondary market by federal entities (Freddie Mac, Fannie Mae, FHA, VA). Ind. Code §§ 24-9-5-1 to 24-9-5-6
Special state protections for service members	None
Deficiency judgments	Allowed if authorized by loan or written agreement and if homeowner does not waive applicable waiting period (which might happen if former owner agrees to move if new owner agrees not to seek a deficiency judgment)
Cash exempted in bankruptcy	$300 for one person, $600 for a married couple
Notice to leave after house is sold	New owner must ask court for possession of property after giving former owner five-day notice to quit (leave). Ind. Code § 32-30-3-2
Foreclosure statutes	Ind. Code §§ 32-30-10-1 to 32-30-10-14; 32-29-1-1 to 32-29-1-11; 32-29-7-1 to 32-29-7-14