Housing Instability Is Spiking Across Central Indiana
Published by Cash Flow Deals · Last updated 2026-08-05
A new Fair Housing Center of Central Indiana report found foreclosure density in Marion County climbed from 5.9 to 7.3 starts per 1,000 owner-occupied households between 2024 and 2025, meaning roughly 1 in 137 owner-occupied homes entered the foreclosure pipeline last year. Tax-delinquent owner-occupied properties surged 36%, concentrated in historically Black neighborhoods near downtown Indianapolis. If you're facing that pressure, you can choose between our Fast Cash Offer, where we buy your house as-is and close, and our Premium Cash Offer, where a pre-approved FHA or conventional buyer we already have, ready to go, pays more and buys directly from you.
| Factor | Traditional Listing | Cash Flow Deals |
|---|---|---|
| Exposure to a property tax or insurance bill hike mid-sale | Costs keep accruing through the entire listing period | Compare what you would receive through the Fast Cash Offer and Premium Cash Offer against your ongoing carrying costs |
| Buyer type | Any buyer, including investors converting owner-occupied homes to rentals | A real FHA or conventional homebuyer, owner-occupant or not, funded by their own lender |
| Speed relative to a tax-delinquency clock | Traditional closings run 30-60+ days after an accepted offer | Compare the Fast Cash Offer and Premium Cash Offer against your tax sale deadline |
What the new FHCCI report measured
The Fair Housing Center of Central Indiana's report, "State of Fair Housing Report: Homes at Risk: Mortgage and Tax Foreclosures in Marion County," found foreclosure density rose from 5.9 to 7.3 starts per 1,000 owner-occupied households between 2024 and 2025, meaning about 1 in 137 owner-occupied households entered the foreclosure pipeline last year. FHA foreclosure filings rose 26% annually to 353 cases, and completed foreclosure sales climbed 20% to 437. Statewide, mortgage foreclosure filings hit 10,585 in 2025, up 16.1%, and Indiana briefly ranked first nationally for foreclosure rate by February 2026 at one filing per 1,597 housing units. Indianapolis ranked third among large metros.
The tax-delinquency side of the story
Beyond mortgage foreclosures, tax-delinquent owner-occupied properties surged 36% year over year to 883 homes, with a median tax debt of $1,750. The report ties that surge to a "crushing combination" of rising property taxes, surging homeowners insurance premiums, and escalating utility costs, concentrated in predominantly Black neighborhoods near downtown Indianapolis where property values, and the tax bills tied to them, have climbed fastest. In Northwest-Riverside and Crown Hill specifically, foreclosure rates exceeded 24 per 1,000 households, roughly triple the countywide average.
Who these numbers are actually happening to
The report broke down a sample of 100 foreclosure cases by how long the owner had held the home: 44% had owned 10 or more years, 17% had owned 5 to 9 years, and 39% had owned 4 years or less. Ninety-two percent of foreclosures involved individual borrowers rather than corporate owners, and 60% of those involved owner-occupied properties, meaning this isn't primarily an investor problem. It's long-tenured homeowners getting squeezed by costs that rose faster than their income. U.S. Bank, Freedom Mortgage, and NewRez were the top three loan servicers tied to 2025 foreclosure starts, at 253, 171, and 165 cases respectively.
What FHCCI is asking for, and what a homeowner can do now
FHCCI called for localized assistance programs and legislative reforms, including a property tax freeze for vulnerable homeowners and steps to limit displacement in historically Black neighborhoods. Policy changes take time you may not have if you're facing a tax sale or foreclosure filing. If you have years of equity but rising carrying costs, you can compare our Fast Cash Offer, where we buy your house as-is and close, with our Premium Cash Offer, where a pre-approved FHA or conventional buyer we already have, ready to go, pays more and buys directly from you. You choose. The number is agreed before any work starts, and it changes only if you agree. The one exception: if something structural surfaces that was not visible or disclosed before we signed — foundation issues, hidden moisture, old wiring, cast-iron drain failure — we re-cost it and bring the number back to you. You decide. You can walk away. We disclose what we know at offer time so this almost never happens. We cover repair costs, and we figure out a way, so nothing comes out of your pocket. With Premium, only what the buyer's lender requires gets fixed, with repair costs settled from the sale proceeds out of our share; with Fast Cash, you sell as-is without making repairs. If the Premium buyer's loan falls through, that is our problem, not yours, and you can still take the Fast Cash Offer at its own number. You can compare both offers against your carrying costs and any tax sale or foreclosure deadline without waiting for legislation to pass.
Common questions
How much did foreclosure density rise in Marion County between 2024 and 2025?
It rose from 5.9 to 7.3 foreclosure starts per 1,000 owner-occupied households, meaning roughly 1 in 137 owner-occupied homes entered the foreclosure pipeline in 2025, per FHCCI's report.
Is this mostly investors losing rental properties, or homeowners?
Mostly homeowners. FHCCI's data shows 92% of foreclosures involved individual borrowers, and 60% of those were owner-occupied properties, not investor rentals.
What's driving the tax-delinquency surge in Marion County?
FHCCI ties it to rising property taxes, surging homeowners insurance premiums, and escalating utility costs, concentrated in historically Black neighborhoods near downtown Indianapolis.
Which loan servicers had the most Marion County foreclosure starts in 2025?
U.S. Bank led with 253, followed by Freedom Mortgage at 171 and NewRez at 165, according to the FHCCI report.
Keep reading
Related reading
- Marion County Foreclosures Are Climbing, New Report Finds ›
- Indiana's Foreclosure Rate Just Ranked Worst in the Country ›
- Foreclosure Scams Are Rising Alongside Indiana Foreclosures ›
- Indy's Housing Market Is Still Running Hot Despite Higher Rates ›
- New Bill Would Stop Slumlords Buying Foreclosed Homes ›
- Mortgage Rates Drop Below 6% for the First Time Since 2022 ›
This affects sellers in
What this means for your options
Rising mortgage delinquency is often the first sign of a softening local market. Homeowners who move before their equity position weakens keep more control over the outcome.
Wait and see
Keep the property as-is and hope conditions improve. The mortgage, insurance, and upkeep keep costing money while you wait, with no set date for things to turn around.
List with a traditional agent
Standard MLS listing, typically 5-6% in commission, and a financed buyer whose deal depends on appraisal, inspection, and lender approval — any of which can fall through after weeks on market.
Sell to Cash Flow Deals
Two offers for your house, Fast Cash or Premium Cash, and you choose. Cash: Cash Flow Deals buys the house as-is and closes. Premium: More money. A pre-approved FHA or conventional buyer we already have buys directly from you.
See both offers before you decide anything.