New home closings in the Roanoke, VA market fell year-over-year in May, and the decline was by a larger percentage than the April 2016. New home closings moved from 5 a year earlier to 2 after the figure moved from 8 in April 2015 to 4 in April 2016.
A total of 38 new homes were sold during the 12 months that ended in May, down from 41 for the year that ended in April.
New home closings were 2 out of the 441 total closings, a move on a percentage basis from 5 of 487 a year earlier. Following a year-over-year decline in April, closings of new and existing homes also slid year-over-year in May.
Pricing and Mortgage Trends
The average price of new homes rose to $302,475 from last year's $295,250. This came after a 91.3% rise in April year-over-year.
From the year-ago figure of $220,644, the average mortgage size on new homes moved up to $279,950. Average mortgage size on new homes went from $154,007 in April 2015 to $278,858 in April 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 May 2016.
The average unit size of newly sold homes rose from 1,930 square feet a year earlier to 2,250 square feet.
Foreclosures and real estate owned (REO) closings rose in May from a year earlier and did not appear to be dragging the market. Combined, foreclosures plus REO closings accounted for 20.7% of existing home closings, above 18.5% a year earlier. The percentage of existing home closings involving foreclosures slid to 7.5% in May from 11.8% a year earlier while REO closings as a percentage of existing home closings climbed to 13.2% from 6.6%.