Central Indiana homebuilding continues slide
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As interest rates continue to climb, the number of building permits continues to decline, according to the latest data from the Builders Association of Greater Indianapolis. The trade association says builders in the nine-county Indianapolis area filed 457 single-family building permits in October, down 46% from 845 in the same month of 2021.
BAGI says permit filings have fallen on a year-over-year basis for the past 10 months and in 13 of the past 15 months. But October’s year-over-year decrease was by far the largest in any month this year.
The organization expects the trend to continue into the new years with home construction sales slowing by 25% through 2023.
“While material delays and supply chain issues continue to be a challenge, our largest obstacles right now are price inflation and land availability” said BAGI Chief Executive Officer Steve Lains.
Marion County saw single-family building permit filings drop in October from 127 in 2021 to 83 this year—a year-over year drop of 35%.
Hamilton County, typically the busiest area county for home construction, saw filings sink 32% in October, from 200 to 137. Year-to-date filings are down 24% in the county.
