In the Burlington, NC market in February, new home closings dropped year-over-year, moving downward after a bump in January 2016. New home closings saw a decline of 13.5% from the year earlier to 32. In comparison, new home closings in the same month last year saw a 47.4% boost year-over-year in January.
A total of 391 new homes were sold during the 12 months that ended in February, down from 396 for the year that ended in January.
Out of all housing closings, new home closings accounted for 20.0%. This is down from the a year earlier when new home closings represented 24.8% of total closings. Closings of new and existing homes grew year-over-year in February after also rising in January year-over-year.
Pricing and Mortgage Trends
Average price of newly sold homes saw a 2.7% decline year-over-year in February to $216,831 per unit. This drop is larger than the 1.4% decline in January from a year earlier.
For newly sold homes, the average mortgage size dropped year-over-year in contrast to average price of new homes. Average mortgage size sank 5.6% to $181,192 in February from a year earlier. Average mortgage size jumped 3.7% in January 2016 from a year earlier.
Other Market Trends
The percentage of new home closings belonging to single-family homes has risen from last year while the portion of new home closings belonging to attached units has dropped. Single-family home closings increased from 75.7% of new closings in February 2015 to 87.5% of closings in February 2016. Conversely, the share of new home closings belonging to attached units dropped to 12.5% of closings from 24.3% of closings.
Foreclosures and real estate owned (REO) closings decreased in February from a year earlier, but remained a drag on the market. Together, foreclosures plus REO closings made up 25.8% of existing home closings, down from 32.1% a year earlier. The percentage of existing home closings involving foreclosures sank to 14.1% in February from 16.1% a year earlier while REO closings as a percentage of existing home closings slid to 11.7% from 16.1% a year earlier.