Squatter Laws in Indiana (2026): Big Changes Property Owners Must See

Most people have no idea how much Indiana’s squatter laws just changed. Seriously. In 2025, Indiana passed some of the strongest anti-squatting legislation in the country. If you own property in Indiana, this is stuff you need to know right now.

Whether you’re a landlord, a homeowner, or just curious, this guide breaks it all down. No legal jargon. No confusing fine print. Just the facts.

What Is a Squatter?

A squatter is someone who moves into a property they do not own. They have no lease. They have no permission from the owner. They just… show up and stay.

Squatting usually happens in vacant homes, abandoned buildings, or foreclosed properties. It’s more common than you think. And until recently, it was surprisingly hard for Indiana property owners to get squatters removed quickly.

Here’s the thing: squatting is not always treated as a crime right away. In many cases, it starts as a civil matter. That’s part of what made it so frustrating for property owners for so long.

Indiana’s Big 2025 Law Change

Okay, this part is important. Hold on.

On July 1, 2025, Indiana enacted a brand new law called Senate Enrolled Act 157, also known as Public Law 191. For the first time, Indiana legally defined a “squatter” and created a formal process to remove them without having to go through a full eviction.

That is a huge deal. Before this law, property owners often had to go through long court battles just to remove someone who had no legal right to be there.

So what changed exactly? Let’s break it down.

The New 48-Hour Removal Rule

This is the part most people miss. And honestly, it might be the most important change in the whole law.

The new law empowers property owners to fill out an affidavit stating the person is unlawfully occupying the property. Once submitted, law enforcement must dispatch officers to remove the squatter within 48 hours, unless public safety requires a delay.

Pretty straightforward, right? You fill out a form. Police show up. The squatter is removed. No months of court hearings. No massive legal bills.

This is a major shift from the previous system, where even clear-cut squatting cases often had to go through a lengthy eviction process. Before this law, owners spent an average of $3,000 or more in legal fees waiting 60 to 90 days for a hearing.

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Now it can happen in two days. Two days.

Who Counts as a Squatter Under the New Law?

Not sure if this applies to your situation? Let me clear it up.

Indiana now legally defines a squatter as an individual occupying another’s property without a rental agreement, owner permission, or other legal interest.

This definition matters a lot. It means someone with even an informal or verbal agreement might not be classified as a squatter. The law is meant to protect actual tenants too.

Wondering how squatting is different from trespassing? Here’s a quick breakdown. Squatting is generally a civil matter unless the property owner establishes that the person is not welcome, while trespassing can be considered a criminal offense. Think of squatting as trespassing with a longer timeline.

The Affidavit Process: How It Works

So you discover someone is living in your property without permission. What do you do?

First, gather your proof of ownership. You will need a certified copy of your deed from the County Recorder. You may also want a current utility bill in your name.

Next, you fill out the affidavit. Law enforcement agencies are permitted to create a standard affidavit form, and officers must remove the individual unless there is credible evidence suggesting the person is not actually a squatter.

Then you submit it. Law enforcement takes over from there.

Stay with me here, because this next part is critical.

If you file this affidavit against a legitimate tenant, even one who has not paid rent, the court shall impose a mandatory $25,000 civil penalty against you. This law is not a shortcut to bypass the eviction process for actual tenants. Use it only for true squatters.

What About Squatters’ Belongings?

Wait, it gets more complicated. Removing the squatter is just step one.

One of the most common mistakes property owners make is throwing out the squatter’s stuff right away. Do not do this.

Even though the person has been removed, their property rights are still protected under Indiana’s laws on abandoned property. If you dispose of their items immediately, the squatter can sue you for conversion, which is basically theft, in small claims court, potentially costing you thousands.

So what should you do instead? Take photos and video of everything left behind. Store the items in a secure place. Post a notice on the door giving the person a deadline to collect their belongings. Only after the required waiting period has passed can you legally dispose of the items.

It is a little extra work. But it protects you legally.

Adverse Possession: Can a Squatter Ever Own Your Property?

Here’s where it gets interesting. Believe it or not, under the old rules, a squatter could eventually claim ownership of your property. This legal concept is called adverse possession. It sounds crazy, but it was real.

Here is the good news: Indiana changed this too.

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The 2025 law eliminates new adverse possession claims filed after June 30, 2025. Any adverse possession claim started before July 1 still falls under the old rules.

So if someone starts squatting on your property today, they cannot use the old adverse possession system to claim ownership. That door is closed for new cases.

But what about claims that started before July 2025? Those still matter. Under the old rules, a squatter had to occupy the property for 10 years of continuous possession and pay property taxes the entire time to make a valid claim. Those older cases are still working through the system under the original rules.

Trespassing vs. Squatting vs. Adverse Possession

Confused about the difference between all these terms? You are not alone. This confuses a lot of people.

Trespassing means entering or staying on a property without permission, with no intent to claim it. It is a criminal offense. Squatting means moving in and staying long-term, usually with the hope of eventually gaining some rights. Adverse possession is the legal process where, under the old law, a long-term squatter could eventually try to become the legal owner.

Think of it this way: trespassing is a quick illegal visit, squatting is an illegal long-term stay, and adverse possession was the legal pathway squatters used to try to keep the property forever. The 2025 law blocked that last step for all new cases.

Penalties for Property Owners Who Misuse the New Law

This part can be tricky, honestly.

The new affidavit process is powerful. But it comes with serious responsibility. It is not meant to be used against real tenants.

Misusing the affidavit against someone who is actually a legitimate tenant carries a mandatory $25,000 civil penalty. That is not a typo. Twenty-five thousand dollars. The court is required to impose this. There is no wiggle room.

So before you file that affidavit, be absolutely sure the person has no lease, no verbal agreement, and no legal claim to the property. When in doubt, talk to a lawyer first.

How to Protect Your Property from Squatters

Prevention is way easier than removal. Trust me on this one.

Inspect your vacant properties regularly. Check for signs of unauthorized access at least every few weeks. Document each visit with photos and notes.

Keep the property maintained. Have the lawn mowed, leaves raked, snow shoveled, and make any needed repairs. A well-maintained property is less appealing to squatters.

Install security measures. Motion sensor lights, alarms, and security cameras all make squatters think twice. Make sure signs and equipment are visible.

Secure all entry points. Lock doors and windows. Board up broken windows in vacant buildings. Change locks between tenants.

If you have a long-term vacant property, consider hiring a property manager or checking in more often. The longer a property sits empty and unmonitored, the more attractive it becomes to unauthorized occupants.

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What to Do If You Discover a Squatter

Okay, let’s say you show up to your property and find someone living there. Here is what you do.

Do not confront the squatter alone or try to physically remove them yourself. That can actually get you in legal trouble.

Step one: gather your ownership documents. Get your deed and any other proof that you own the property.

Step two: confirm they have no lease or permission. Make sure you are dealing with a true squatter and not a former tenant.

Step three: fill out the affidavit. Contact your local law enforcement agency and ask about the standard affidavit form for squatter removal under SEA 157.

Step four: submit the affidavit to law enforcement. Officers should respond within 48 hours.

Step five: document everything left behind. Do not throw anything away yet. Follow the abandoned property rules.

If the situation is complicated, or if the squatter is claiming to have a lease, consult an attorney before doing anything else.

Frequently Asked Questions

Can police remove a squatter in Indiana right now? Yes. Under the 2025 law, police can remove a squatter within 48 hours after a property owner submits a valid affidavit.

Can a squatter claim ownership of my Indiana property in 2026? Not through a new adverse possession claim. The 2025 law eliminated new adverse possession claims for anyone who started squatting after June 30, 2025.

What happens if I use the affidavit against a real tenant? You will face a mandatory $25,000 civil penalty. The law is very clear on this point.

Do I still need to go to court to remove a squatter? Not always. The new affidavit process lets you bypass court in many cases. However, if the squatter claims to have a lease or there is a dispute, court may still be involved.

Can I throw out a squatter’s belongings after they are removed? No. You must document, store, and give notice before disposing of any items left behind. Throwing out their belongings too soon can result in a lawsuit against you.

Final Thoughts

Indiana took a major step in 2025 to protect property owners. The new law is faster, clearer, and much more effective than the old system. But it also comes with real responsibility. You need to know the rules before you act.

If you own property in Indiana, learn the affidavit process now. Secure your vacant properties. And if things ever get complicated, call a real estate attorney.

Now you know the basics. Stay informed, stay protected, and when in doubt, get legal help.