The Hagerstown, MD market saw a rise in new home closings in June year-over-year, rebounding from a year-over-year decline in May 2015. New home closings moved from 16 a year earlier to 21 after the figure moved from 13 in May 2014 to 7 in May 2015.
A total of 132 new homes were sold during the 12 months that ended in June, up from 127 for the year that ended in May.
New home closings made up 9.1% of overall housing closings. This marks a rise from 6.6% of total closings a year earlier. For new and existing homes, closings fell in June after also declining in May year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes moved to $294,955 in June 2015 from $294,567 in June 2014. This came after a 11.6% drop in May from a year earlier.
The average mortgage size on newly sold homes moved south year-over-year in contrast to new home prices. In June 2015, there was a 5.1% fall in the average mortgage size on new homes to $243,834. Average mortgage size on new homes went from $255,326 in May 2014 to $208,082 in May 2015.
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. The share of new home closings belonging to attached units climbed from a quarter of closings in June 2014 to 28.6% of closings in June 2015. Meanwhile, single-family home closings as a percentage of all new home closings sank to 71.4% of closings from three quarters of closings.
For all new homes sold, the average unit size dropped 13.6% year-over-year to 2,407 square feet in June 2015. In May, the average size of new homes sold went from 2,525 square feet a year earlier to 2,520 square feet.
Foreclosures and real estate owned (REO) closings declined in June from a year earlier, but stayed a drag on the market. Combined, foreclosures plus REO closings represented 27.0% of existing home closings, below 40.7% a year earlier. The percentage of existing home closings involving foreclosures fell to 5.2% in June from 24.8% a year earlier while REO closings as a percentage of existing home closings gained to 21.8% from 15.9%.