In the Chico, CA market in January, new home closings dropped year-over-year, and the decline was similar to December 2015. New home closings moved from 11 a year earlier to 2 after the figure moved from 11 in December 2014 to 2 in December 2015.
A total of 90 new homes were sold during the 12 months that ended in January, down from 99 for the year that ended in December.
New home closings were 4.8% of total closings a year earlier, and this percentage saw a drop as new home closings this year made up 2 of the 191 total closings. Following a year-over-year increase in December, closings of new and existing homes fell year-over-year in January.
Pricing and Mortgage Trends
The average new home value went from $340,682 last year to $418,500. This followed a 30.0% lift in December year-over-year.
From the year-ago figure of $297,703, the average mortgage size on new homes moved up to $353,400. Average mortgage size on new homes went from $227,643 in December 2014 to $280,000 in December 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 January 2016.
The average unit size of newly sold homes rose from 1,991 square feet a year earlier to 2,273 square feet.
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. Combined, foreclosures plus REO closings represented 18.0% of existing home closings, below 26.6% a year earlier. The percentage of existing home closings involving foreclosures fell to 9.5% in January from 14.2% a year earlier while REO closings as a percentage of existing home closings dropped to 8.5% from 12.4% a year earlier.