In November, the Waco, TX market saw a decline year-over-year in new home closings, and the percentage fall was steeper than October 2015, suggesting the market may be worsening. New home closings saw a 54.3% drop from a year earlier to 16. This was after the housing market saw a 4.3% decline year-over-year in October.
A total of 315 new homes were sold during the 12 months that ended in November, down from 334 for the year that ended in October.
Out of all housing closings, new home closings accounted for 4.5%. This is down from the 11.9% of closings a year earlier. For new and existing homes, closings rose year-over-year in November after also increasing in October year-over-year.
Pricing and Mortgage Trends
For newly sold homes, the average price jumped 17.1% year-over-year in November to $254,762 per unit. This bump is better than the 16.3% rise in October year-over-year.
Along with new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. Average mortgage size climbed 22.4% to $229,638 in November from a year earlier. In October 2015, average mortgage size on newly sold homes saw a 8.4% boost year-over-year from a year earlier.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in November 2015. Single-family home closings have accounted for all of new home closings while attached unit closings have made up no part of closings.
There was a 21.9% hike year-over-year in the average unit size of newly sold homes to 2,406 square feet in November 2015. The average size of newly sold homes moved from 1,951 square feet in October 2014 to 1,949 square feet in October 2015.
Foreclosures and real estate owned (REO) closings continued to rise in November from a year earlier and remained a drag on the market. Combined, foreclosures plus REO closings made up 29.2% of existing home closings, above 24.0% a year earlier. The percentage of existing home closings involving foreclosures went from 13.2% in November 2014 to 13.7% in November 2015 and REO closings as a percentage of existing home closings climbed to 15.5% from 10.9%.