BAGI Reports 9% Year-Over-Year Increase in November in New Home Construction Permits

INDIANAPOLIS (December 18, 2024) — The Builders Association of Greater Indianapolis (BAGI) has announced a 9% increase for November 2024, year-over-year, in new home construction permits. This latest increase culminates a total 26% increase year-over-year for 2024.

The November report highlights a continued strong demand for new housing in Central Indiana. The small decrease in interest rates in previous months certainly contributed to the ongoing demand. With the Federal Reserve’s final meeting of the year happening today and tomorrow, we anticipate an announcement for another .25% decrease.

“We are encouraged by the positive trend in new home construction and look for it to continue into the new year,” said Steve Lains, CEO of BAGI. “The 26% change in permits for 2024 is a strong indicator of the continued health and resilience of Indiana’s housing market and we believe we will continue to see increased demand next year. However, our challenge with supply constraints—including government regulations, material costs, and land availability—continue to challenge our ability to meet that demand.”

As Indiana continues to experience economic growth and migration into the state, the demand for diverse and affordable housing options is expected to remain high. BAGI’s November report is a positive sign for homebuilders and reflects Indiana’s healthy and expanding real estate market.