Indiana guide

Indiana HOA document review

Indiana HOAs and planned communities are governed by the Homeowners Associations Act (IC 32-25.5), enacted in 2009 and amended repeatedly, most recently in the 2026 session. It is the closest Indiana comes to a consumer-transparency code, but it is comparatively thin — there is no reserve-study or reserve-funding mandate, no statutory resale certificate, and no UCIOA-style buyer protection.

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For HOA-governed single-family and townhome communities, document review emphasizes the budget process, the borrowing limit, common-area maintenance and amenity reserves, records-inspection rights, and the special-assessment and loan history. The seller of mandatory-HOA property must deliver the recorded governing documents, an assessment statement, and management contact at least 10 days before closing under IC 32-21-5-8.5, but the buyer must still request the budget, reserves, minutes, and insurance. The 2026 HB 1115 reforms — barred records-production fees, an adopted Schedule of Fines, four-day meeting notice, and a two-thirds cap on owner-consent thresholds — make confirming that the governing documents are up to date a core review item.

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IC 32-25.5 governs Indiana HOAs

The Homeowners Associations Act applies to HOAs governing lots or parcels in a subdivision or planned community, not condos; the condominium act (IC 32-25) expressly does not apply to HOAs. Most HOAs are also nonprofit corporations, so the Nonprofit Corporation Act (IC 23-17) supplies default governance, member-meeting, and director rules that fill statutory gaps. Confirm the property is an IC 32-25.5 HOA rather than an IC 32-25 condominium, because lien, insurance, and disclosure details differ.

Budgets, borrowing, and the maintenance line

Under IC 32-25.5-3-3, an HOA must prepare an annual budget, give members the proposed budget (or notice it is available free) plus notice of any assessment change, and have it approved at a member meeting by a majority of members in attendance; if quorum fails, the board may adopt a budget up to 100 percent of the last approved budget (110 percent if the documents authorize). Under IC 32-25.5-3-5 an HOA may not borrow more than the greater of $5,000 or 10 percent of the prior year's budget in a calendar year without an affirmative majority member vote by paper ballot distributed at least 30 days before the count. Read the declaration to confirm what the association maintains — roads, drainage, walls, amenities — versus the owner.

No reserve mandate — read the funding

Indiana HOAs have no statutory requirement to conduct a reserve study or fund a reserve account at all; funding is governed entirely by the declaration, bylaws, and board judgment, tempered only by fiduciary duty under nonprofit law. Surprise special assessments are a leading Indiana complaint — the Conner Creek community in Fishers reportedly held about $140,000 in reserves while facing a proposed $3.5M loan. Request any reserve study, the reserve balance, and the funding plan, and read them against amenity-heavy components like pools, clubhouses, private roads, and retention ponds.

Records access and the 2026 reforms

Under IC 32-25.5-3-3, HOA financial records and board-meeting minutes must be available to members on written request identifying the records with reasonable particularity, and access cannot be unreasonably denied or conditioned on stating a purpose (with carve-outs for attorney-client material, unexecuted contracts, another member's account, and records older than two years). The 2026 HB 1115 changes removed the prior records search-and-copy fee, required an adopted Schedule of Fines before any fine, set a four-day board-meeting notice-with-agenda rule, and capped owner-consent thresholds at two-thirds. Confirm the governing documents have been conformed to these changes.

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Indiana legal references

Informational only. Not legal advice. Always confirm against current statute and counsel.

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Reviewer's checklist

  • Confirm the property is an HOA under IC 32-25.5 (not a condominium under IC 32-25)
  • Confirm the seller delivered IC 32-21-5-8.5 documents at least 10 days before closing
  • Read the declaration for association-versus-owner maintenance responsibility
  • Obtain the current budget and confirm the IC 32-25.5-3-3 approval process was followed
  • Request any reserve study, the reserve balance, and the funding plan (no HOA mandate)
  • Review reserve funding for amenities — pools, clubhouses, private roads, drainage, ponds
  • Request the special-assessment and loan history and any pending special
  • Review any loan vote for the IC 32-25.5-3-5 paper-ballot and 30-day-notice requirement
  • Request board and member meeting minutes (records older than two years may be withheld)
  • Confirm an adopted Schedule of Fines exists before any fining (HB 1115)
  • Confirm the governing documents have been conformed to the 2026 changes
  • Request the delinquency report given Indiana's lack of a super-lien

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How CondoSignal reads a document package

Source documents

  • Declaration & bylawsthe rules
  • Budget & financialsthe money
  • Reserve studythe big repairs
  • Meeting minuteswhat the board fears
read together

Cross-reference

The risk lives in the contradiction between documents.

An assessment in the minutes but not the estoppel; a reserve the budget never funds.

scored

Risk report

Severity-graded across 8 categories.

Every finding cites the document, page number, and quoted text.

How CondoSignal reviews this

We read the reserve study, operating budget, and 24 months of meeting minutes togetherindiana hoa document review risk usually lives in the contradiction between documents, not in any single one of them. Every finding cites the source document, the page number, and the quoted text behind it.

See our 8-category framework →

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Most buyers get 7–14 days to review condo documents. Upload the packet — we read the reserve study, budget, minutes, and insurance summary and flag the risks, every finding linked to the exact page. Free.

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Reviewed by Kirk Hasley, Founder. Every claim here is checked against current Indiana statute and primary sources, using the same documented review framework we run on every file. Last reviewed June 13, 2026.

FAQ

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What a finding looks like

Every finding cites the exact page in your documents

Sample finding — illustrative
ElevatedSpecial assessment risk

“The board approved a $15,000-per-unit special assessment for façade repairs, payable over 12 months.”

Source: Board meeting minutes, p. 12 — quoted and linked in your report so you can verify it in seconds.

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Risk Intelligence

Review the documents before your contingency ends

Most buyers get 7–14 days to review condo documents. Upload the packet — we read the reserve study, budget, minutes, and insurance summary and flag the risks, every finding linked to the exact page. Free.

Expert Matching

Need a real estate lawyer or mortgage specialist?

We can connect you with vetted real estate lawyers, mortgage brokers, and insurance brokers familiar with the specifics of condo and HOA transactions.

  • HOA lawyer
  • Mortgage broker
  • Insurance broker