Foreclosure Prevention

Apply for Hardest Hit Funds

Through the Indiana Foreclosure Prevention Network (“IFPN”), Indiana homeowners may access the Hardest Hit Fund. It is estimated that the program will help as many as 10,000 families who are struggling to make their mortgage payments due to an involuntary financial hardship.   

If you are an Indiana homeowner who is having difficulty making mortgage payments due to an involuntary financial hardship, call 877-GET-HOPE (877-438-4673) or click here to begin the online application.  You will then be connected with an IFPN housing counseling agency that will contact you within a few business days about your next steps.

Homeowners who are not eligible for the Hardest Hit Fund my still receive free foreclosure prevention assistance from an IFPN housing counseling agency by applying online.

Hardest Hit Fund- Blight Elimination Program


On Monday, February 3, 2014, Lt. Governor Ellspermann was joined by Senators Merritt & Rogers, Representatives Moed and Morrison, and IHCDA staff to announce Treasury's approval of Indiana's Blight Elimination Program.


Blighted, vacant and abandoned homes are a serious issue for Indiana homeowners, neighborhoods and communities. Sadly, the State of Indiana has the dubious distinction of having the highest percentage of abandoned foreclosed homes in the country.  RealtyTrac and 24/7 Wall Street are reporting that roughly 30% of Indiana’s foreclosed homes are abandoned. This means that due to foreclosure alone, 5,000 blighted and abandoned homes are negatively impacting Indiana homeowners and neighborhoods by reducing property values. Blighted properties also serve as a drain on municipal resources. Many Indiana communities lack the resources necessary to address this growing issue alone.

The U.S. Department of the Treasury established the Housing Finance Agency Innovation Fund for the Hardest-Hit Markets (Hardest Hit Fund) to provide financial assistance to families in the states most impacted by the downturn of the housing market. The U.S. Department of the Treasury designed the overall program to give each participating state the flexibility to tailor its program to the unique factors contributing to its state’s foreclosure problems. The Hardest Hit Fund is a national program available in 18 states and the District of Columbia.

Indiana was awarded more than $221 million under the Hardest Hit Fund and is targeting low- to moderate-income homeowners whose primary residence is in any county in Indiana.  The State of Indiana, through IHCDA, is exploring the use of a portion of the Hardest Hit Funds to demolish blighted and abandoned homes that are beyond repair. The goal is not simply to demolish abandoned homes, but to stabilize property values in Indiana communities.  The proposed partnership between IHCDA and Indiana municipalities would allow communities to demolish blighted properties and offer a variety of end uses for the newly cleared properties including green space and redevelopment. IHCDA, Lt. Governor Sue Ellspermann, IHCDA’s Board Chair, Mayor Buttigieg and Senator Merritt believe that the demolition of abandoned and blighted homes would be a significant step toward rebuilding Hoosier communities. 

Since IHCDA’s announcement that it was exploring the use of Hardest Hit Funds to eliminate blighted and abandoned properties, many have expressed concern that doing so might detract from the mission of helping struggling homeowners avoid foreclosure.  IHCDA would like to reassure the public that it is committed to using the majority of Hardest Hit Funds to help individual homeowners in need.  As of September 30, 2014, more than 4000 homeowners have received over $50 million in Hardest Hit Fund mortgage payment assistance.

Click here for More Blight Elimination Program Information 

Foreclosure Pre-Suit Notice

On March 17, 2010, Governor Daniels signed into law House Enrolled Act No. 1122. Section 3 of HEA 1122 requires that IHCDA revise the Pre-Suit Notice required under IC §32-30-10.5-8. Under IC §32-30-10.5-8, a lender must send a homeowner a Pre-Suit Notice on a form prescribed by IHCDA at least thirty (30) days prior to filing a foreclosure action against the homeowner.

To provide ample lead time to lenders to adopt the revised Pre-Suit Notice, IHCDA now posts a FINAL version of the Pre-Suit Notice, as revised to comply with the terms of HEA 1122, at . Under Indiana law, lenders must adopt this Notice no later than January 1, 2011.

Please see below for instructions for the Pre-Suit Notice. Although IHCDA has provided instructions for completing and sending the Notices, these are not to be construed as legal advice and do not replace or supersede the provisions of IC 32-30-10.5-8 or other applicable law.

Instructions for Completing Foreclosure Notices

Revised Foreclosure Pre-suit Notice
The effective date to begin using this revised notice is December 1, 2015.

Pre-Suit Notice
Pre-Suit Notice (Spanish)

Foreclosure Settlement Conference Notice

On May 10, 2011, Governor Daniels signed into law Senate Enrolled Act No. 582. Section 8 of SEA 582 requires IHCDA in consultation with the division of state court administration to prescribe new language for the Settlement Conference Notice. IHCDA takes the opportunity to revise the Settlement Conference Notice and prescribe a new version under the authority granted in IC §32-30-10.5-8. The original Settlement Conference Notice was published in July, 2009 after considering the input of a great many parties, none of whom had the benefit of knowing quite how Indiana’s new foreclosure law would work in practice.

Having operated under the new law for nearly two years and received feedback on the Notice, IHCDA recognized that the Settlement Conference Notice was not meeting the legislative intent as well as it could. Feedback consistently indicated that homeowners would be more apt to request settlement conferences if the Notice were located on the first page of the summons that is served to the borrower in a foreclosure action. The new Notice has been written so that the borrower is notified of their right to a settlement conference on the first page of the summons.

To provide ample lead time to lenders to adopt the revised Settlement Conference Notice, IHCDA now posts a FINAL version of the Settlement Conference Notice. Lenders must adopt this Notice no later than July 1, 2011.

Settlement Conference Notice