In the Colorado Springs, CO market, new home closings grew year-over-year in September, and the market seemed to be suggesting strengthening with a percentage hike more robust than August 2015. There was a 17.3% jump in new home closings from a year earlier. This came after a 2.2% rise year-over-year in August.
A total of 2,198 new homes were sold during the 12 months that ended in September, up from 2,168 for the year that ended in August.
As a percentage of overall housing closings, new home closings accounted for 13.3% of overall housing closings. As a part of the whole, new home closings were 12.9% a year earlier. Following a year-over-year increase in August, closings of new and existing homes also gained year-over-year in September.
Pricing and Mortgage Trends
The average value for new homes sold in September 2015 was $325,014, a move from $322,742 a year earlier. This was on the heels of a move from $321,955 per unit in August 2014 to $320,603 in August 2015.
In September 2015, average mortgage size on new homes went from $287,818 in September 2014 to $288,405 in September 2015. In August 2015, average mortgage size on newly sold homes saw a 1.4% surge year-over-year from a year earlier.
Other Market Trends
As a percentage of new home closings, attached unit closings have grown from last year while single-family home closings have dropped. The share of new home closings belonging to attached units grew from 11.6% of closings in September 2014 to 20.7% of closings in September 2015. Meanwhile, single-family home closings as a percentage of all new home closings slid to 79.3% of closings from 88.4% of closings.
The average unit size of newly sold homes climbed 3.6% year-over-year to 2,817 square feet in September 2015. In August, the average size of new homes sold went from 2,673 square feet a year earlier to 2,748 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in September, but did not look to be a burden on the market. Combined, foreclosures plus REO closings represented 11.6% of existing home closings, below 15.7% a year earlier. The percentage of existing home closings involving foreclosures fell to 5.7% in September from 7.3% a year earlier while REO closings as a percentage of existing home closings declined to 5.9% from 8.4% a year earlier.