In the Savannah, GA market in January, closings of new homes slid year-over-year, curving down after an increase in December 2015. Closings dropped 45.5% from a year earlier to 30. This came after a 26.9% boost year-over-year in December.
A total of 751 new homes were sold during the 12 months that ended in January, down from 776 for the year that ended in December.
Out of all housing closings, new home closings made up 7.2%. This is down from the 12.0% of closings a year earlier. Following a year-over-year rise in December, closings of new and existing homes declined year-over-year in January.
Pricing and Mortgage Trends
In January, the average per-unit price of new homes declined by 1.3% year-over-year to $225,185. This decline compares to a 17.9% hike in December year-over-year.
In contrast to new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. The average mortgage size rose to $216,170 in January, marking a 5.1% surge compared with a year earlier. In December 2015, average mortgage size on newly sold homes saw a 19.9% rise year-over-year 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. The share of new home closings belonging to attached units gained from 3.6% of closings in January 2015 to 10.0% of closings in January 2016. Meanwhile, single-family home closings as a percentage of all new home closings slid to 90.0% of closings from 96.4% of closings.
There was a 24.5% fall year-over-year in the average unit size of newly sold homes to 1,913 square feet in January 2016. The average size of newly sold homes moved from 2,252 square feet in December 2014 to 2,061 square feet in December 2015.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in January, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 23.8% of existing closings, lower than 30.9% a year earlier. The percentage of existing home closings involving foreclosures sank to 11.7% in January from 14.8% a year earlier while REO closings as a percentage of existing home closings declined to 12.2% from 16.0% a year earlier.