There was a rise in new home closings in the Vallejo, CA market in September year-over-year, and the market seemed to be signaling bolstering with a percentage gain stronger than August 2015. Closings climbed more than twofold from a year earlier to 83. This came on the heels of a 83.8% climb year-over-year in August.
A total of 660 new homes were sold during the 12 months that ended in September, up from 611 for the year that ended in August.
Out of all housing closings, new home closings made up 12.2%. This is an increase on a percentage basis, as new home closings were 6.6% of total closings a year ago. Closings of new and existing homes rose year-over-year in September after also rising in August year-over-year.
Pricing and Mortgage Trends
The average price of new homes increased year-over-year 15.3% in September to $479,230 per unit. This boost is an improvement over the 13.2% surge in August year-over-year.
For newly sold homes, the average mortgage size saw a lift year-over-year along with new home prices. It rose 14.6% in September from a year earlier to $399,830. In August 2015, average mortgage size on newly sold homes saw a 10.7% boost year-over-year from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. The share of new home closings belonging to single-family homes rose from 97.1% in September 2014 to all of closings in September 2015. Conversely, the share of new home closings belonging to attached units fell to no part of closings from 2.9% of closings.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in September, but did not look to be a burden on the market. Together, foreclosures plus REO closings represented 17.3% of existing home closings, down from 20.3% a year earlier. The percentage of existing home closings involving foreclosures went from 8.7% in September 2014 to 9.4% in September 2015 and REO closings as a percentage of existing home closings sank to 7.9% from 11.6% a year earlier.