In June, the Olympia, WA market saw a fall year-over-year in new home closings, but the percentage drop, which was less than that of May 2016, gave suggestions that the market may be stabilizing. Closings declined 6.4% from a year earlier to 73. This was after the housing market saw a 9.5% fall year-over-year in May.
A total of 690 new homes were sold during the 12 months that ended in June, down from 695 for the year that ended in May.
As a percentage of overall housing closings, new home closings represented 12.4%. This is a decline 14.3% of closings a year earlier. For new and existing homes, closings increased year-over-year in June after also increasing in May year-over-year.
Pricing and Mortgage Trends
The average price of new homes was $342,220 per unit in June, up 5.8%from a year earlier. This boost is smaller than the 10.8% hike in May year-over-year.
Along with new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. The average mortgage size saw a 9.3% rise year-over-year to $303,688 in June. Average mortgage size jumped 8.8% in May 2016 from a year earlier.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have grown from last year while closings of single-family homes have dipped. Attached unit closings grew from 1.3% of all closings in June 2015 to 4.1% of closings in June 2016. Conversely, the share belonging to single-family homes sank to 95.9% of closings from 98.7% of closings.
The average unit size of newly sold homes fell 2.0% year-over-year to 2,335 square feet in June 2016. In May, the average size of new homes sold went from 2,284 square feet a year earlier to 2,312 square feet.
Out of all existing home closings, foreclosures combined with REO closings represented 20.9% of closings. They accounted for 21.0% in June 2015. The percentage of existing home closings involving foreclosures went from 8.4% in June 2015 to 7.9% in June 2016 and REO closings moved from 12.6% of existing home closings in June 2015 to 13.0% in June 2016.