New home closings in the Cape Coral, FL market declined year-over-year in January, signifying a decline after little movement in December from the year earlier. New home closings saw a 4.0% drop from a year earlier to 144. Closings were level in December from the year earlier.
A total of 3,059 new homes were sold during the 12 months that ended in January, down from 3,065 for the year that ended in December.
Of the total number of closings, new home closings made up 8.5%. A year ago, 7.6% of total closings were new home closings. Following a year-over-year decline in December, closings of new and existing homes also fell year-over-year in January.
Pricing and Mortgage Trends
For newly sold homes, the average price jumped 15.8% year-over-year in January to $409,356 per unit. This boost is higher than the 4.7% surge in December year-over-year.
For newly sold homes, the average mortgage size rose year-over-year along with new home prices. In January 2016, the average mortgage size was $274,956, up 6.0% from a year earlier. In December 2015, average mortgage size rose 14.2% from a year earlier.
Other Market Trends
The percentage of new home closings belonging to single-family homes has risen from last year while the portion of new home closings belonging to attached units has dropped. Single-family home closings grew from 72.7% of new closings in January 2015 to 75.7% of closings in January 2016. Conversely, the share of new home closings belonging to attached units sank to 24.3% of closings from 27.3% of closings.
The average unit size of newly sold homes went from 2,208 square feet in January 2015 to 2,203 square feet in January 2016. In December 2015, the average size of newly sold homes increased 2.0% from the year earlier. In December, the average size of new homes sold went from 2,079 square feet a year earlier to 2,120 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in January, but did not appear to be dragging the market. Together, foreclosures plus REO closings represented 19.8% of existing home closings, down from 32.3% a year earlier. The percentage of existing home closings involving foreclosures slid to 8.4% in January from 17.1% a year earlier while REO closings as a percentage of existing home closings declined to 11.4% from 15.2% a year earlier.