Applications for new homes surged 14% on a year-over-year basis in central Indiana in December, helping the market finish the year on an upbeat note, according to the latest statistics from the Builders Association of Greater Indianapolis, or BAGI.

The jump in December helped snap a four-month streak of falling numbers and pushed the entire year into positive territory.

Builders filed 760 single-family building permits in the nine-county area last month, up from 666 that were filed in December 2024, BAGI said.

In total in 2025, 10,173 permits were filed overall in the area, up from 10,044 in 2024, an increase of 1.3%.

“Central Indiana’s housing market finished 2025 in a balanced position,” said Chris Hancock, CEO of BAGI, in written comments. “Builders responded thoughtfully to changing conditions throughout the year—managing inventory carefully, aligning with buyer demand, and maintaining a disciplined approach to new construction.”

Six of the area’s nine counties saw increases in filings in December. (see county-by-county results below).

For the year, Hancock County saw the biggest rise in filings on a percentage basis, at 27%. Usual housing hotbeds Hamilton County and Marion County saw declines.


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