In the Fresno, CA market in February, new home closings grew year-over-year, but the percentage lift was not as steep as January 2016, giving signals of market leveling out. There was a 9.7% climb in new home closings from a year earlier. This was after the housing market saw a 20.0% boost year-over-year in January.
A total of 1,889 new homes were sold during the 12 months that ended in February, up from 1,879 for the year that ended in January.
New home closings made up 13.6% of overall housing closings. This marks a rise from 9.9% of total closings a year earlier. Following a year-over-year rise in January, closings of new and existing homes sank year-over-year in February.
Pricing and Mortgage Trends
Average price of newly sold homes saw a 4.7% drop year-over-year in February to $295,917 per unit. This decline is a drop off from the 13.2% fall in January from a year earlier.
There was a lift year-over-year in the average mortgage size on new homes in contrast to new home prices. In February 2016, the average mortgage size was $263,633, a 1.2% bump from a year earlier. Average mortgage size dropped 10.1% in January 2016 from a year earlier.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in February 2016. Single-family home closings have accounted for all of new home closings while attached unit closings have made up no part of closings.
There was a 10.0% surge year-over-year in the average unit size of newly sold homes to 2,396 square feet in February 2016. The average size of newly sold homes moved from 2,190 square feet in January 2015 to 1,734 square feet in January 2016.
Foreclosures and real estate owned (REO) closings rose in February from a year earlier and did not look to be a burden on the market. Combined, foreclosures plus REO closings accounted for 22.7% of existing home closings, above 21.1% a year earlier. The percentage of existing home closings involving foreclosures stayed at 10.1% of closings in February from a year earlier while REO closings as a percentage of existing home closings gained to 12.6% from 11.1%.