In the Little Rock, AR market, closings of new homes fell year-over-year in March, and the decline was by a larger percentage than the February 2016. New home closings moved from 52 a year earlier to 5 after the figure moved from 69 in February 2015 to 9 in February 2016.
A total of 190 new homes were sold during the 12 months that ended in March, down from 237 for the year that ended in February.
On a percentage basis, new home closings as a part of total closings decreased to 0.5% from 4.9% a year earlier. Closings of new and existing homes declined year-over-year in March after remaning steady in February year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes in March 2016 was $176,787, down from last year's $217,703. This followed a 2.5% surge in February year-over-year.
The average mortgage size moved to $163,483, down from last year's $199,693. Average mortgage size on new homes went from $173,742 in February 2015 to $186,026 in February 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 March 2016.
The average unit size of newly sold homes fell from 1,846 square feet a year earlier to 1,686 square feet.
Foreclosures and real estate owned (REO) closings continued to rise in March from a year earlier and remained a burden on the market. Together, foreclosures plus REO closings accounted for 31.4% of existing home closings, up from 30.8% a year earlier. The percentage of existing home closings involving foreclosures sank to 13.5% in March from 15.9% a year earlier while REO closings as a percentage of existing home closings rose to 17.9% from 15.0%.