The laws relating to mortgage loans in Indiana are primarily governed by the State Statutory and HUD Federal Statute, Section 202. You will find the knowledge presented here covering all the necessary information about the mortgage industry in the state. Anyone thinking of acquiring a home in "the crossroads of America" (Indiana) will find this information worthy of consideration before venturing into any deal.

Mortgage in Indiana State is primarily governed by the State Statutory and HUD Federal Statute, Section 202.

• Mortgage brokers form the vast majority of loan brokers in Indiana. These brokers originate two-thirds of the residential mortgage loans in the state.
  
  
• The Indiana Loan Broker Act regulates loan brokers doing business in Indiana. This law is enforced by the Indiana Securities Division of the Indiana Secretary of State's Office.
  However, the Act does not give the Division the authority to change any term of the mortgage made by signing the contract of the mortgage and the promissory note related to it at closing. For this other solutions might become available to you under federal law or state law.
  Some mortgage brokers are totally exempted from this Act while others are partially exempt from it.
  
  
• Indiana Mortgage Bankers Association (IMBA) provides services, support and information to its members and strives to ensure proper and ethical business practices in keeping with the industry standards.
  
  
• The Indiana Housing Finance Authority (IHFA) has sanctioned more than two million dollars for helping out residents of the state in fulfilling their housing needs. They can now tide over the hindrance posed by high down payment requirements in home purchase.
  
  
• In this state the judicial foreclosure process is only available. This is used when there is no power of sale (clause) in the mortgage/deed of trust. Upon court declaration of foreclosure the property will be auctioned and given to the highest bidder. There is a waiting time though between the date of filing the suit and the date of property sale. The date when the mortgage was signed decides the length of time a lender has to wait after filing the suit and proceeding with the foreclosure sale. This "wait time" can lie anywhere between three and twelve months. However, the owner can file and waive off the time limit thereby allowing the sale to proceed without delay. At this the lender loses the right to pursue a deficiency judgment. In the foreclosure sale process an ad is published once a week for three weeks. The first advertisement needs to run thirty days prior to the sale. Each owner needs to be served with the notice of the foreclosure by the sheriff while the first advertisement is run. Title by a deed is given just after the sale is conveyed by the sheriff. Anyway, the owner can reside in the property free of rent till the foreclosure sale takes place. However, the owner must not commit waste i.e. damage or modify the property.
  
  
• Deficiency judgment is allowed and right to redemption is there in the state.