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Foreclosure Survival Guide
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Foreclosure Survival Guide (1st Edition)
| 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 § 24-9-5-2), any time before sale |
| Redemption after sale | No |
| 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 and following |
| 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 roperty 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 |