There was a rise in new home closings in the Vallejo, CA market in February year-over-year, and there were signals of strengthening market conditions as the percentage lift was an greater than January 2016. There was a more than threefold jump in new home closings from a year earlier. This came after a 80.6% climb year-over-year in January.
A total of 862 new homes were sold during the 12 months that ended in February, up from 811 for the year that ended in January.
Of 502 total closings, 76 were of new homes. This is better than the 6.2% of closings a year earlier. Following a year-over-year increase in January, closings of new and existing homes also jumped year-over-year in February.
Pricing and Mortgage Trends
Average price of newly sold homes saw a 6.1% hike year-over-year in February to $477,555 per unit. This rise is smaller than the 20.5% boost in January year-over-year.
Average mortgage size on new homes saw a decline year-over-year in contrast to prices of new homes. Average mortgage size fell by 2.6% from a year earlier, settling at $387,565 in February. In January 2016, average mortgage size on newly sold homes saw a 17.9% gain year-over-year 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. Single-family home closings climbed from 92.0% of new closings in February 2015 to all of closings in February 2016. Meanwhile, attached units as a percentage of all new home closings slid to no part of closings from 8.0% of closings.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in February, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 20.0% of closings, below 20.5% a year earlier. The percentage of existing home closings involving foreclosures rose to 9.4% in February from 7.1% a year earlier while REO closings as a percentage of existing home closings sank to 10.6% from 13.4% a year earlier.