As 2025 unfolds, Indiana homeowners are seeing a number of legal changes that could impact how they buy, sell, own, or rent property. From enhanced seller disclosures to updates in landlord-tenant rights, these new laws are designed to create more transparency, protect property owners, and modernize real estate transactions.
At Annie Scott Realty Group LLC, we believe informed homeowners make empowered decisions. Here’s a breakdown of the most important Indiana real estate law changes you should know this year.
1. Updated Seller Disclosure Requirements
As of January 1, 2025, Indiana’s Seller’s Residential Real Estate Disclosure Form includes new questions about:
- Mold history and remediation
- Structural or foundation modifications
- Solar panel installations and whether they are leased or owned
- Smart home devices and which will remain with the home
Why it matters: Full and accurate disclosure is legally required. Misrepresentations—even unintentional—can result in post-sale disputes or legal action.
2. Permanent Electronic Closings and Remote Notarization
Remote Online Notarization (RON) and fully digital closings are now permanently legal across Indiana. This allows buyers and sellers to sign and notarize real estate documents virtually.
Why it matters: You can now complete closings securely from your home or even out of state, offering more convenience and speed in the transaction process.
3. HOA Transparency and Financial Oversight
A new state law requires Homeowners Associations to improve communication and financial transparency by:
- Sharing annual budgets with homeowners
- Providing access to governing documents and meeting minutes
- Giving notice and documentation before levying fines
Why it matters: If you live in or plan to buy into an HOA community, you now have more rights to understand and question how your dues are being used.
4. Clarified Property Tax Cap Enforcement
Indiana’s 1% cap on property taxes for owner-occupied residences still holds—but new 2025 legislation clarifies how improvements, reassessments, or use changes (like converting a home into a rental) may affect your tax classification and rate.
Why it matters: Homeowners making major updates or turning homes into rental properties could face higher tax bills if exemptions change.
5. Landlord-Tenant Law Changes
Updates to Indiana’s landlord-tenant laws include:
- Required 48-hour notice for non-emergency property access
- Maximum limits on application fees and late charges
- Shortened timeline to return security deposits (now 30 days instead of 45)
Why it matters: Landlords must stay compliant, while tenants have clearer protection and faster access to refunds and information.
6. Short-Term Rental Licensing and Local Restrictions
More Indiana counties and cities are regulating Airbnb and VRBO-style rentals through:
- Local licensing and permit requirements
- Occupancy taxes
- Zoning enforcement and maximum stay restrictions
Why it matters: If you currently operate or are considering short-term rentals, you’ll need to stay compliant with both state and local laws to avoid fines or shutdowns.
Final Thoughts
Navigating Indiana real estate laws doesn’t have to be complicated—but it does require staying current. Whether you’re a homeowner, landlord, or future seller, these 2025 updates can directly impact how you manage your property.
At Annie Scott Realty Group LLC, we’re committed to helping you stay ahead of the curve. From legal compliance to market strategy, we provide trusted, knowledgeable guidance so you can make the best possible decisions for your future.
Have questions about how these laws affect your property? Let’s connect. I’m here to help.
Sources:
- Indiana General Assembly – 2025 Legislative Updates
- Indiana Association of Realtors
- Indiana Department of Local Government Finance
- Indiana Secretary of State – Business Services Division
- HUD: Landlord and Tenant Rights and Responsibilities in Indiana
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