In June, closings of new homes in the Bradenton, FL market rose year-over-year, but the percentage surge was less than May 2016, suggesting the market may be leveling. Closings climbed 8.6% from a year earlier to 380. In comparison, new home closings in the same month last year saw a 51.9% boost year-over-year in May.
A total of 4,251 new homes were sold during the 12 months that ended in June, up from 4,221 for the year that ended in May.
As a percentage of overall housing closings, new home closings made up 14.5%. This is a gain from 12.2% of closings a year earlier. For new and existing homes, closings sank in June after also declining in May year-over-year.
Pricing and Mortgage Trends
The average price of new homes went from $374,627 in June 2015 to $371,789 in June 2016. This followed a 1.5% drop in May from a year earlier.
Average mortgage size on new homes saw a fall year-over-year in contrast to prices of new homes. Average mortgage size declined by 4.9% from a year earlier, settling at $264,003 in June. In May 2016, average mortgage size dropped 4.9% from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. Single-family home closings increased from 76.3% of new closings in June 2015 to 82.4% of closings in June 2016. At the same time, the share of new home closings belonging to attached units declined to 17.6% of closings from 23.7% of closings.
For all new homes sold, the average unit size rose 5.5% year-over-year to 2,323 square feet in June 2016. In May, the average size of new homes sold went from 2,135 square feet a year earlier to 2,509 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in June, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings represented 13.6% of closings, below 24.4% a year earlier. The percentage of existing home closings involving foreclosures sank to 6.1% in June from 9.5% a year earlier while REO closings as a percentage of existing home closings dropped to 7.5% from 14.9% a year earlier.