The Chico, CA market saw a drop in new home closings year-over-year in September, and the decline was by a larger percentage than the August 2015. New home closings moved from 20 a year earlier to 7 after the figure moved from 14 in August 2014 to 9 in August 2015.
A total of 134 new homes were sold during the 12 months that ended in September, down from 147 for the year that ended in August.
Last year, 20 of 283 total closings were new homes, and this percentage saw a decline as new home closings this year made up 7 of the 309 total closings. Following a year-over-year increase in August, closings of new and existing homes also increased year-over-year in September.
Pricing and Mortgage Trends
The average price of new homes rose to $388,286 from last year's $306,300. This came after a 12.8% hike in August year-over-year.
The average mortgage size on new homes was $291,575, up from $250,055. Average mortgage size on new homes went from $260,607 in August 2014 to $264,199 in August 2015.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in September 2015.
The average unit size of newly sold homes fell from 1,778 square feet a year earlier to 1,659 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in September, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings made up 16.2% of closings, below 20.9% a year earlier. The percentage of existing home closings involving foreclosures sank to 8.6% in September from 9.9% a year earlier while REO closings as a percentage of existing home closings fell to 7.6% from 11.0% a year earlier.