In April, there was a fall year-over-year in new home closings in the Fayetteville, AR market, but the decline was less than the year-over-year decline in March. New home closings moved from 77 a year earlier to 11 after the figure moved from 97 in March 2015 to 10 in March 2016.
A total of 399 new homes were sold during the 12 months that ended in April, down from 465 for the year that ended in March.
On a percentage basis, new home closings as a part of total closings decreased to 1.2% from 10.2% a year earlier. Following a drop in March year-over-year, closings of new and existing homes climbed year-over-year in April.
Pricing and Mortgage Trends
The average new home value went from $256,326 last year to $344,091. This came after a 12.3% fall in March from a year earlier.
Average mortgage size on new homes increased to $289,627 from $221,780 last year. Average mortgage size on new homes went from $221,304 in March 2015 to $189,694 in March 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in April 2016.
The average unit size of newly sold homes fell from 2,403 square feet a year earlier to 2,284 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in April, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 14.7% of closings, below 18.9% a year earlier. The percentage of existing home closings involving foreclosures slid to 4.8% in April from 7.4% a year earlier while REO closings as a percentage of existing home closings sank to 9.9% from 11.5% a year earlier.