How to Handle a Real Estate Dispute With a Neighbor

What Causes Boundary Disputes?

Boundary disputes arise when two property owners disagree about where one parcel ends and the other begins. Common triggers include fences built in the wrong location, trees or landscaping that cross property lines, new construction that encroaches on a neighbor’s land, and disagreements about shared driveways or access paths.

These disagreements may involve title defects, ownership claims, easements, surveys, or other issues that may require help from an Indiana real estate attorney .

In Indiana, boundary disputes are resolved by reference to recorded deeds, surveys, and, in some cases, the doctrine of adverse possession under IC § 32-21-7-1. This doctrine may allow someone who has openly and continuously used a strip of land for ten or more years to claim legal ownership.

The practical consequences of misunderstanding this area of law can be significant. Problems may include failed closings, lost deposits, unenforceable agreements, and title defects that take months or years to resolve.

Knowing your rights and obligations before you sign gives you the leverage to negotiate from a position of knowledge rather than assumption.

How Does This Affect Indiana Property Owners?

Indiana’s real estate legal framework has several important features. Indiana is a judicial foreclosure state, meaning foreclosures go through the court system. This gives borrowers more time and procedural protections than borrowers may receive in nonjudicial foreclosure states.

Indiana recognizes transfer-on-death deeds under IC § 32-17-14. These deeds allow property to pass to a beneficiary at death without probate.

Indiana’s statute of frauds under IC § 32-21-1-13 requires real estate contracts to be in writing to be enforceable. Indiana’s landlord-tenant laws under IC § 32-31 also establish obligations for both landlords and tenants.

Understanding these features helps property owners avoid common and costly mistakes in Indiana real estate transactions.

What Steps Should You Take?

• Before buying: Get pre-approved for financing, hire a licensed inspector, and order a title search.
• Before selling: Review your deed and title for outstanding liens, encumbrances, or defects.
• Before signing any contract: Read every provision, understand all contingencies and deadlines, and know what happens if either party defaults.
• Before closing: Review the settlement statement line by line and confirm that all numbers match your expectations.
• After closing: Record the deed with the county recorder, update your homeowner’s insurance, and file any transfer-on-death deed or beneficiary changes.
• For landlords: Put every lease in writing, comply with security deposit rules under IC § 32-31-3, and follow proper eviction procedures. Property owners facing tenant issues can also review the Indiana commercial eviction guide .
• For tenants: Document the condition of the property at move-in, pay rent on time, and put repair requests in writing.

What Happens If Something Goes Wrong?

Real estate disputes in Indiana can be resolved through negotiation, mediation, or litigation.

Title defects may require a quiet title action under IC § 32-30-3. Mechanic’s lien disputes follow the procedures in IC § 32-28-3. Landlord-tenant disputes may lead to eviction proceedings, security deposit claims, or habitability complaints.

Boundary disputes may require a professional survey and, when the parties cannot reach an agreement, a court determination.

In all cases, acting early, before a minor issue becomes a major dispute, can save time, money, and stress.

Some property disputes may overlap with civil litigation, landlord-tenant matters, contract disputes, or business-property concerns. Review the firm’s Indiana legal practice areas to learn more about related legal services.

A Real-World Example

What Should You Do Next?

• Gather all relevant documents, including deeds, purchase agreements, title reports, mortgage statements, and lease agreements.
• Identify the specific issue and the timeline for any deadlines or contingencies.
• Do not sign anything, accept any terms, or take any action until you understand the legal consequences.
• Consult with an Indiana real estate attorney, especially for transactions involving substantial sums, title issues, boundary disagreements, or property disputes. Visit the Fritch Law Office contact page to request an appointment.
• Keep written records of all communications, agreements, and transactions.

Documents to Gather

• The deed, title insurance policy, and any title search or abstract reports.
• Purchase agreement, closing documents, and settlement statements.
• Mortgage documents, lien records, and payoff statements.
• Property tax records and any homeowner association documents.
• Survey, inspection reports, and any correspondence related to the property.
• Lease agreements, rent records, and tenant communications, when applicable.

Common Mistakes to Avoid

• Signing a purchase agreement without understanding the contingencies and deadlines.
• Skipping the title search or declining title insurance to save costs.
• Failing to record a deed or transfer-on-death deed with the county recorder.
• Assuming a verbal agreement about property boundaries or repairs is enforceable. Indiana’s statute of frauds requires real estate agreements to be in writing.
• Ignoring a lien, code violation, or zoning issue until it blocks a sale or financing.
• Making improvements to rental property without confirming lease terms and lien rights.