In September, there was an increase in closings of new homes in the Fort Worth, TX market year-over-year, and the percentage lift was an improvement from August 2015, suggesting the market may be gaining momentum. New home closings saw a 20.0% rise from a year earlier to 2,007. This came after a 8.1% jump year-over-year in August.
A total of 21,850 new homes were sold during the 12 months that ended in September, up from 21,516 for the year that ended in August.
New home closings made up 14.5% of overall housing closings. A year ago, 13.7% of total closings were new home closings. For new and existing homes, closings climbed year-over-year in September after also increasing in August year-over-year.
Pricing and Mortgage Trends
In September, the average price of newly sold homes increased year-over-year to $339,711 per unit, a 12.5% rise. This rise is an improvement over the 5.2% surge in August year-over-year.
Average mortgage size on new homes rose year-over-year along with new home prices. The average mortgage size saw a 11.1% surge year-over-year to $291,794 in September. In August 2015, average mortgage size increased 5.9% from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. The share of new home closings belonging to single-family homes increased from 95.5% in September 2014 to 96.8% of closings in September 2015. Meanwhile, attached units as a percentage of all new home closings slid to 3.2% of closings from 4.5% of closings.
There was a 6.7% surge year-over-year in the average unit size of newly sold homes to 3,085 square feet in September 2015. An increase in both the average size and price of newly sold homes was also seen in August 2015 when the average size grew 8.0% to 3,126 square feet. In August, the average size of new homes sold went from 2,894 square feet a year earlier to 3,126 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in September, but did not look to be a burden on the market. Combined, foreclosures plus REO closings made up 11.9% of existing home closings, below 15.5% a year earlier. The percentage of existing home closings involving foreclosures dropped to 5.5% in September from 7.5% a year earlier while REO closings as a percentage of existing home closings sank to 6.4% from 8.0% a year earlier.
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