In May, there was a drop year-over-year in new home closings in the Grand Junction, CO market, and the decline was by a larger percentage than the April 2016. New home closings moved from 22 a year earlier to 5 after the figure moved from 17 in April 2015 to 5 in April 2016.
On a percentage basis, new home closings as a part of total closings decreased to 1.3% from 6.2% a year earlier. After dropping in April from a year earlier, closings of new and existing homes jumped year-over-year in May.
Pricing and Mortgage Trends
The average price of new homes rose to $323,390 from last year's $288,621. This followed a 10.9% bump in April year-over-year.
The average mortgage size moved to $239,203, down from last year's $265,930. Average mortgage size on new homes went from $216,231 in April 2015 to $182,095 in April 2016.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen.
Foreclosures and real estate owned (REO) closings rose in May from a year earlier and did not appear to be dragging the market. Combined, foreclosures plus REO closings represented 19.1% of existing home closings, above 16.8% a year earlier. The percentage of existing home closings involving foreclosures rose to 9.3% in May from 8.1% a year earlier while REO closings as a percentage of existing home closings climbed to 9.8% from 8.7%.