HOA Laws in Indiana

Homeowners associations in Indiana are governed by the Homeowners Associations statute, Indiana Code Article 32-25.5, with condominiums governed by Article 32-25. This guide summarizes the areas boards ask about most. It is general information, not legal advice.

The governing statute

Article 32-25.5 sets baseline rules for Indiana HOAs, focused on budgets, records, and member meeting rights, alongside your recorded documents. Most Indiana HOAs are also incorporated as nonprofit corporations, so Title 23, Article 17 governs corporate matters such as member and board meetings, director duties, quorum, and voting. Condominium communities should look primarily to Article 32-25.

Budgets and budget meetings

Under Section 32-25.5-3-3, a homeowners association must prepare an annual budget reflecting estimated revenues, expenses, and any surplus or deficit, and follow the statute's budget and approval process.

Meetings and member attendance

Members have the right to attend board meetings, including the annual meeting. The board may meet in private to discuss delinquent assessments or, with legal counsel, pending or threatened litigation. Notice and procedures otherwise follow the statute and your bylaws.

Records access and owner inspection

Under Section 32-25.5-3-3, financial records, including contracts, invoices, bills, receipts, and bank records, and the minutes of board meetings must be made available to members on written request, subject to reasonable search fees and retention rules.

Elections and voting

Directors are elected by the members as provided by the governing documents and the corporation act, with notice, quorum, proxy, and ballot procedures following those rules.

Assessments, liens, and foreclosure

Associations may levy assessments and enforce a lien for unpaid amounts as authorized by the documents and applicable law, and may pursue foreclosure subject to procedure. Boards typically involve an attorney for liens and foreclosure.

Fines and enforcement

Authority to fine comes primarily from the governing documents. Boards should confirm their documents authorize fines and provide fair notice and an opportunity to be heard.

Reserves and budgets

Indiana does not impose a detailed statewide reserve-study mandate. Budgeting and reserve practices follow the statute and the documents, and funding reserves for major repairs remains a widely recommended practice.

Owner protections on common restrictions

Indiana addresses certain owner rights, including the display of the United States flag and, for some communities, solar access. Review the specific statute and your documents before denying a related request.

Where to get official help

Article 32-25.5 and Article 32-25 appear in Title 32 of the Indiana Code. For a specific situation, consult an Indiana attorney experienced in community association law.