Working with Indiana foreclosure listings to find a new property can take about nine months. Indiana house foreclosures are handled through banks. Indiana foreclosure law does not require that lenders send default notices to borrowers, but most do. Indiana house foreclosures usually can move forward in three months, but some older mortgage agreements have a six-month or even a 12-month period before homes are eligible for free Indiana foreclosure listings.

For buyers, this is a rare and valuable opportunity made possible by poorly designed mortgage products and leading to a community we could call Foreclosure Indiana. If you're willing to invest a few years living in a so-so property, or can afford to operate rental properties, you should see a nice capital gain on Indiana bank owned properties when the economy rebounds.

1. Decide if working with Indiana foreclosure listings are for you.

2. Explore the free Indiana foreclosure listing documentation available online or from real estate professionals.

3. Dive in if you have the cash to support the initial investment and the will to wait for the perfect time to sell.

Action Steps
The best contacts and resources to help you get it done

Find a local Indiana realtor who knows the market and back it up with your own research.

Finding a local realtor who knows the market will save buyers time and headaches. That realtor will know where the free foreclosure listings in Indiana are, and they will be motivated to help you through the Indiana reo process and earn their commission. It's also essential that you have some background so you can give the real estate professional solid input.

I recommend: Contact the Indiana Association of Realtors to find a professional in the area of interest to you. This will put you in touch with an expert real estate professional.

If you're planning to live in the property, learn about Indiana.

Indiana has culture, professional sports, the most famous auto race in the world and a low cost of living. Almost anything any resident could want could be found in Indiana, and at a lower-than-average price.

I recommend: Explore Indiana on the web on sites like TechPoint if you don't live there or live nearby, and then review its leading lifestyle publication, the Indianapolis Star.

If you're planning on renting out the property, learn about the life of a landlord.

Becoming a landlord is not as simple as renting out the property at a high enough price to cover your mortgage. There are legal responsibilities for landlords to follow and forms to use.

I recommend: Go online to understand the role of landlord and decide if it's for you. The Find Law website is a great place to find information on Indiana lease laws. In a less formal vein, there are some informative blogs such as Landlord and Tenant with stories that should be of interest.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  The key is to success with foreclosure in Indiana is to understand what you are getting into. While this is a rare opportunity, understanding the particulars of Indiana and the roles and responsibilities of property ownership and renting out that property will save you some unhappy surprises.

Indiana foreclosure listings are popping up all over the market, from South Bend, to Indianapolis, all the way down to Evansville. Why not take advantage of these under priced homes?

Foreclosure in Indiana has made for a unique market of homes available for sale to investors, but you need to know a few basics before jumping into the water.

If you as an investor or a house flipper are wanting to join the foreclosure real estate market, you should:

1. Locate Indiana foreclosure listings.
2. Decide if you have the funding to purchase the home outright, or decide if you need to have financing.
3. Try and beat the bank, if you have the funds up front. Consider contacting the family ahead of time to work out a deal to buy the house before the foreclosure actually happens.
4. Attend an Indiana foreclosure auction. Make sure that you have your cash or money ready, as 100% of the money is due by the end of the business day in the form of a certified check or money order.
5. Consider going through a realtor if you need to exercise standard financing options.

Action Steps
The best contacts and resources to help you get it done

Locate Indiana foreclosures

Conduct your search online or by phone.

I recommend: Look on the Internet through subscription sites, most of which offer free trial periods. Try Indiana Foreclosure Listings, RealtyTrac, or ForeclosureFreeSearch. You can also call your county sheriff's department to find free Indiana foreclosure listings. Check out Decatur County's current listings and Vanderburgh County as two examples.

Let a picture say more than a thousand words

Take pictures of any Indiana foreclosure properties that you are interested in. Then return home to look up the property values in the neighborhood.

I recommend: Take pictures that will help you keep track of the most promising foreclosure properties. Then look up neighboring property values on sites such as Realtor.com or by visiting your county assessor's website.

Contact your local realtor about Indiana foreclosures

If you don't have 100% of the money up front, call your local realtor office and tell them that you are looking for Indiana foreclosures or Indiana bank owned properties. They can point you in the right direction for homes that suit you whether you are looking to be the primary resident, use it for a rental property or flip the house and resell it.

I recommend: Standard financing options are available if you take this route for purchasing Indiana foreclosures.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  If you are buying foreclosure Indiana property at an auction, it's purchased 'as-is.' Make sure that there are no back taxes on the property, and make sure that there are no existing liens on the property. They won't tell you or they may not know at the auction. Many foreclosure Indiana listings may have previous electric or water bills that have to be paid by the new owner.
• •  Take your property photographs with you to the auction. In large counties, and at large auctions, it's very common for 75 to 100 auctions to take place in a 15 to 30 minute period. It can easily become confusing if you don't remember which house or houses you're interested in.
• •  If you go the realtor route, visit the available homes with your realtor. On those visits, look for large cracks in drywall or plaster, sagging floors, uneven floors, large cracks in the ceiling and mold. These should be major red flags.
• •  If you purchase a foreclosure in Indiana home through a realtor, always obtain an inspection.
• •  Don't be shocked at the cosmetic issues (smell or sight) when you first walk into Indiana house foreclosures. Consider it an ugly duckling, and take into account that the worse it looks, the cheaper you can buy it for.

Indiana foreclosure listings are full of information that is slightly different from a traditional real estate listing. Even if you are familiar with some of these terms, it's wise to refresh yourself on their definition as they can vary greatly from state to state.

Take the time to learn about these terms by browsing through informational websites. Here are some of commonly found terms in Indiana foreclosure listings and some additional resources that provide further information about Indiana foreclosure listings.

Action Steps
The best contacts and resources to help you get it done

Judicial foreclosure

A judicial foreclosure refers to a proceeding brought against a defaulted borrower by a lender in the court of law. A lawsuit is filed stating that the borrower has defaulted and that the lender wishes to foreclose. Depending on when the mortgage papers were signed, the lender must wait between three and 12 months before auctioning off the home. An Indiana foreclosure listing will detail where a lender is in the judicial foreclosure process.

I recommend: Visit the website for Foreclosure Law.org for further information on how a judicial foreclosure operates in the state of Indiana.

Notice of sale

A notice of sale refers to an document that an auctioneer (appointed by the local sheriff) must place in a local newspaper at least three times no less than 30 days before the auction date. The notice of sale must also be posted in three public places. An Indiana foreclosure listing will detail the contents found in the notice of sale and may even provide a link to the advertisement.

I recommend: Visit the website for Realty Trac for more info on how and where the notice of sale must be posted in the state of Indiana.

Lis pendis

The lis pendis is the actual document, which is recorded in the court system, and outlines that the lender wishes to foreclose on the defaulted borrower. The details of where and when the lis pendis was filed will be found in an Indiana foreclosure listing.

I recommend: Visit the website for Foreclosure.com for further information on lis pendis and how it is incorporated into the Indiana foreclosure and foreclosure listing process.

Decree of sale

The decree of sale is an action that may be executed if the court finds that the property in default has been abandoned. This negates the time line that a lender must follow before auctioning off a property. An Indiana foreclosure listing will detail if a decree of sale has been granted by the court, thus expediting the auction process.

I recommend: Visit the website for Foreclosure University for additional information on how the decree of sale operates within the state of Indiana.

Right to redemption, redemption by owner

In the state of Indiana, the defaulted borrower has the right to reclaim their property by paying the balance due to the lender inclusive of penalties and fees. Also, any partial owner of the property may pay the balance due, retain the property and take a lien against the other owners. When looking at Indiana foreclosure listings, keep an eye out for liens from partial owners. This is most common in a divorce type situation.

I recommend: Visit the official Indiana state website for more information on how the right to redemption works in the state of Indiana.

Public auction

A public auction is the method by which foreclosed properties are sold in the state of Indiana. The property is awarded to the highest bidder. An Indiana foreclosure listing will outline the date, time, starting bid and other pertinent information about the public auction in the foreclosure listing.

I recommend: Visit the website for Foreclosed Homes Indiana.com for further information on how a public auction operates in the state of Indiana.