BAGI Reports 12% Year-Over-Year Increase in April New Home Construction Permits

INDIANAPOLIS (May 25, 2025) — The Builders Association of Greater Indianapolis (BAGI) reports a 12% year-over-year increase in new home construction permits for April 2025, signaling a rebound in residential building activity as builders and buyers adapt to shifting economic conditions.

According to the latest data, 1,043 permits were issued across Central Indiana in April 2025, compared to 933 permits in April 2024. The uptick reflects strong demand, with some builders noting success in selling spec (move-in ready) inventory despite ongoing challenges like interest rate uncertainty and policy changes.

“April’s permit growth highlights the resilience of Central Indiana’s housing market,” said Chris Hancock, CEO of BAGI. “Builders are strategically responding to economic signals and buyer needs, ensuring alignment with market trends. This region remains highly attractive, and we anticipate sustained demand through 2025.”

Builders continue to navigate factors such as borrowing costs, material availability, and local regulations while planning new developments. Uncertainty around Federal Reserve policy and inflation concerns are prompting a cautious yet forward-looking approach to residential construction.