New home closings in the Bakersfield, CA market climbed year-over-year in January, on an upswing after a decline in December 2015. There was a 14.1% climb in new home closings from a year earlier. This came after a 11.5% drop year-over-year in December.
A total of 1,789 new homes were sold during the 12 months that ended in January, up from 1,776 for the year that ended in December.
Out of all housing closings, new home closings made up 12.0%. This is a surge from 10.5% of closings a year earlier. After falling in December from a year earlier, closings of new and existing homes stayed steady in January.
Pricing and Mortgage Trends
The average price of new homes went from $288,376 in January 2015 to $285,939 in January 2016. This came after a 3.5% fall in December from a year earlier.
Average mortgage size on new homes fell year-over-year in contrast to new home prices. It slid 2.1% in January from a year earlier, reaching $256,631. Average mortgage size declined 2.8% in December 2015 from a year earlier.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in January 2016. Single-family home closings have represented all of new home closings while attached unit closings have made up no part of closings.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in January, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, made up 23.0% of existing closings, lower than 34.2% a year earlier. The percentage of existing home closings involving foreclosures slid to 10.1% in January from 15.8% a year earlier while REO closings as a percentage of existing home closings dropped to 12.9% from 18.4% a year earlier.