In the Jacksonville, FL market in December, new home closings sank year-over-year, and there were signals the market may be weakening with a percentage fall steeper than November 2015. There was a 27.0% decline in new home closings from a year earlier. This was after the housing market saw a 16.2% fall year-over-year in November.
A total of 4,982 new homes were sold during the 12 months that ended in December, down from 5,116 for the year that ended in November.
New home closings represented 13.3% of overall housing closings. This is a fall 15.0% of closings a year earlier. For new and existing homes, closings dropped in December after also declining in November year-over-year.
Pricing and Mortgage Trends
The average price of new homes went from $304,648 in December 2014 to $305,650 in December 2015. This came after a 9.6% surge in November year-over-year.
The average mortgage size on newly sold homes moved south year-over-year in contrast to new home prices. It sank 3.1% in December from a year earlier, reaching $246,561. In November 2015, average mortgage size on newly sold homes saw a 9.3% lift 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. Attached unit closings grew from 7.5% of all closings in December 2014 to 20.2% of closings in December 2015. Meanwhile, single-family home closings as a percentage of all new home closings fell to 79.8% of closings from 92.5% of closings.
For all new homes sold, the average unit size fell 6.0% year-over-year to 2,325 square feet in December 2015. In November, the average size of new homes sold went from 2,403 square feet a year earlier to 2,395 square feet.
Foreclosures and real estate owned (REO) closings decreased in December from a year earlier, but stayed a drag on the market. Together, foreclosures plus REO closings accounted for 35.1% of existing home closings, down from 48.4% a year earlier. The percentage of existing home closings involving foreclosures dropped to 15.8% in December from 25.4% a year earlier while REO closings as a percentage of existing home closings declined to 19.3% from 23.0% a year earlier.