Builders Remain Positive Amidst September Permit Numbers
INDIANAPOLIS (October 20, 2022) – The Builders Association of Greater Indianapolis (BAGI) continues to see a regression in homebuilding permit activity heading into the fall, with 500 permits issued last month compared to 744 in September of 2021.
September’s permit numbers relay a 16 percent decrease in permits compared to August’s 14 percent decrease, but builders remain optimistic.
“As we mentioned in our State of the Industry letter in August, we expect construction home sales to slow by 25 percent through the end of this year,” said Steve Lains, CEO of the Builders Association of Greater Indianapolis. “With mortgage rates approaching 7 percent, we aren’t surprised by this decrease in permit numbers. This is something industry professionals have been preparing for.”
Despite decreased permit activity, local homebuilders and suppliers remain busy as they continue to complete previously sold homes around the Indianapolis area. Marion, Shelby and Johnson County also saw permit increases over the last month, with Johnson County seeing an 18 percent increase of 100 permits issued compared to 85 in September 2021.
“Our builders continue to battle supply chain issues, inflation and more but are committed to providing Hoosier homeowners with the quality homes they want and deserve,” explained Lains.
Permit Breakdown by County:
|County||2021 Permits (Jan - Sept)||2022 Permits (Jan – Sept)|
To reference the latest State of the Industry letter, visit BAGI’s website.
The Builders Association of Greater Indianapolis is a professional trade association representing residential homebuilders, associates, and remodelers. For more information, call 317-527-6774; or visit www.BAGI.com/permits/ for permits numbers from 2000-2022.