In March, there was an increase in closings of new homes in the Bremerton, WA market year-over-year, and there were suggestions that the market may be improving as the percentage lift was better than February 2016. New home closings saw a climb of 42.3% from the year earlier to 37. This followed a 40.0% hike year-over-year in February.
A total of 371 new homes were sold during the 12 months that ended in March, up from 360 for the year that ended in February.
Of 475 total closings, 37 were of new homes. This is better than the 6.1% of closings a year earlier. For new and existing homes, closings increased year-over-year in March after also increasing in February year-over-year.
Pricing and Mortgage Trends
The average price of new homes dropped by 3.5% year-over-year to $343,680 per unit in March. This fall is a drop off from the 7.6% drop in February from a year earlier.
For newly sold homes, the average mortgage size saw a gain year-over-year in contrast to new home prices. The average mortgage size saw a 1.1% boost year-over-year to $310,834 in March. In February 2016, average mortgage size fell 5.5% from a year earlier.
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. Attached unit closings gained from no part of all closings in March 2015 to 5.4% of closings in March 2016. At the same time, the share belonging to single-family homes sank to 94.6% of closings from all of closings.
There was a 4.2% drop year-over-year in the average unit size of newly sold homes to 2,233 square feet in March 2016. A decrease in both the average size and price of newly sold homes was also seen in February 2016 when the average size increased 12.7% to 1,953 square feet. The average size of newly sold homes moved from 2,238 square feet in February 2015 to 1,953 square feet in February 2016.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in March, but did not appear to be dragging the market. Combined, foreclosures plus REO closings accounted for 21.5% of existing home closings, below 26.7% a year earlier. The percentage of existing home closings involving foreclosures rose to 10.7% in March from 9.3% a year earlier while REO closings as a percentage of existing home closings dropped to 10.7% from 17.4% a year earlier.