There was a rise in closings of new homes in the Las Vegas, NV market in September year-over-year, but with a less pronounced percentage boost than August 2015, there are signs of market stabilization. There was a 2.5% climb in new home closings from a year earlier. This came after a 21.6% boost year-over-year in August.
A total of 6,575 new homes were sold during the 12 months that ended in September, up from 6,559 for the year that ended in August.
New home closings accounted for 14.1% of overall housing closings. This is a hike from 12.2% of closings a year earlier. After rising year-over-year in August, closings of new and existing homes slid year-over-year in September.
Pricing and Mortgage Trends
Average price of newly sold homes saw a 10.2% gain year-over-year in September to $368,968 per unit. This boost is an improvement over the 8.1% lift in August year-over-year.
The average mortgage size on new homes moved north year-over-year along with new home prices. In September 2015, the average mortgage size was $309,248, a 12.0% rise from a year earlier. In August 2015, average mortgage size climbed 7.5% 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. The share of new home closings belonging to single-family homes jumped from 92.8% in September 2014 to 95.3% of closings in September 2015. Meanwhile, attached units as a percentage of all new home closings sank to 4.7% of closings from 7.2% of closings.
For all new homes sold, the average unit size slid 2.6% year-over-year to 2,300 square feet in September 2015. This decline was opposite the price bump, a pattern also seen in August 2015 when the average size of newly sold homes declined 5.6% to 2,227 square feet. In August, the average size of new homes sold went from 2,358 square feet a year earlier to 2,227 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. Out of all existing home closings, foreclosures combined with REO closings made up 23.7% of closings, below 38.0% a year earlier. The percentage of existing home closings involving foreclosures went from 10.8% in September 2014 to 11.2% in September 2015 and REO closings as a percentage of existing home closings slid to 12.5% from 27.1% a year earlier.