In the Columbus, OH market in June, closings of new homes fell year-over-year, and the percentage fall, which was steeper than May 2016, gave suggestions that the market may be worsening. Closings slumped 39.0% from a year earlier to 133. This came after a 21.1% drop year-over-year in May.
A total of 2,143 new homes were sold during the 12 months that ended in June, down from 2,228 for the year that ended in May.
Out of all housing closings, new home closings accounted for 3.3%. This is down from the a year earlier when new home closings represented 5.4% of total closings. Closings of new and existing homes remained steady in June after rising in May year-over-year.
Pricing and Mortgage Trends
The average price of newly sold homes increased year-over-year 3.1% in June to $312,566 per unit. This hike is smaller than the 7.9% lift in May year-over-year.
The average mortgage size on newly sold homes climbed year-over-year along with the average price of new homes. In June 2016, average mortgage size increased 1.2% from a year earlier to $262,884. Average mortgage size jumped 6.9% in May 2016 from a year earlier.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have risen from last year while closings of single-family homes have dipped. Attached unit closings climbed from 17.4% of all closings in June 2015 to 36.1% of closings in June 2016. At the same time, the share belonging to single-family homes dropped to 63.9% of closings from 82.6% of closings.
There was a 15.7% fall year-over-year in the average unit size of newly sold homes to 2,148 square feet in June 2016. In May, the average size of new homes sold went from 2,611 square feet a year earlier to 2,684 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in June, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings represented 14.7% of closings, below 15.4% a year earlier. The percentage of existing home closings involving foreclosures rose to 7.2% in June from 4.9% a year earlier while REO closings as a percentage of existing home closings slid to 7.4% from 10.5% a year earlier.