In the Jackson, MS market in May, closings of new homes sank year-over-year, and the decline was by a larger percentage than the April 2016. New home closings moved from 42 a year earlier to 8 after the figure moved from 21 in April 2015 to 6 in April 2016.
A total of 195 new homes were sold during the 12 months that ended in May, down from 229 for the year that ended in April.
Last year, 42 of 245 total closings were new homes, and this percentage saw a decline as new home closings this year made up 8 of the 174 total closings. Following a year-over-year increase in April, closings of new and existing homes fell year-over-year in May.
Pricing and Mortgage Trends
The average price of new homes was $391,744, an increase from $320,237 a year earlier. This came after a 16.7% bump in April year-over-year.
Average mortgage size on new homes increased to $334,185 from $272,817 last year. Average mortgage size on new homes went from $260,389 in April 2015 to $293,705 in April 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in May 2016.
The average unit size of newly sold homes rose from 2,643 square feet a year earlier to 2,765 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in May, but did not look to be a burden on the market. Combined, foreclosures plus REO closings accounted for 12.0% of existing home closings, below 12.3% a year earlier. The percentage of existing home closings involving foreclosures dropped to 4.2% in May from 5.9% a year earlier while REO closings as a percentage of existing home closings grew to 7.8% from 6.4%.