Selling a home in Indianapolis requires more than just a handshake. Marion County property records are notorious for containing "Clouds on Title" that can delay your closing for months. Here are the three most common title nasties we see in Indiana.
1. The "Land Contract" Issue
Decades ago, buying homes on "Contract for Deed" was common. If you sold a house on contract years ago and the buyer moved out, you might assume the property is yours again. However, if that contract was recorded, the buyer may still hold an "Equitable Interest" in the property.
The Reality: Most title companies will not issue a title insurance policy—which is required to sell the home—until that cloud is removed. This usually requires either a Quitclaim Deed from the previous buyer or a formal foreclosure action. We are experienced in spotting these issues early and can work with your title officer to determine the necessary steps to clear the way for a sale.
2. The Tax Sale "Redemption" Rights
Did you buy this house at a Sheriff Sale? Just because you have the deed doesn't mean you have marketable title. Most insurers require you to wait one year or file a Quiet Title Action to ensure the previous owner can't come back.
3. The 10-Year Judgment Lien
In Indiana, judgments automatically attach as liens to any real estate you own in the county for 10 years. Even if you filed bankruptcy, the lien often remains on the property until you file a specific motion to remove it.
We handle the title cleanup.
IMPORTANT LEGAL DISCLAIMER:
Homebound Offers is a real estate investment company. We are principal buyers, not attorneys, financial advisors, or licensed real estate agents. The information presented in this article is for educational purposes only and does not constitute legal, financial, or tax advice.
Real estate laws, including eviction, probate, and foreclosure statutes, vary by location and are subject to judicial interpretation. Every property situation is unique. The next step for any legal action should always be to contact a qualified attorney to review your specific circumstances. If you need a referral to a local professional, we may be able to provide a list of independent contacts.