In September, closings of new homes in the Fairbanks, AK market jumped year-over-year, and the increase was greater than August 2015. New home closings moved from 1 a year earlier to 3 after the figure moved from 1 in August 2014 to 2 in August 2015.
New home closings were 3 of the 167 total closings, up on a percentage basis from 1 of 137 a year earlier. Following a year-over-year increase in August, closings of new and existing homes also gained year-over-year in September.
Pricing and Mortgage Trends
The average price for newly sold homes moved north to $298,418 from $147,658 a year ago. This followed a 9.8% bump in August year-over-year.
Average mortgage size on new homes increased to $282,468 from $150,671 last year. Average mortgage size on new homes went from $346,288 in August 2014 to $298,216 in August 2015.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in September 2015.
The average unit size of newly sold homes rose from 1,064 square feet a year earlier to 1,396 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in September, but did not appear to be dragging the market. Together, foreclosures plus REO closings represented 12.8% of existing home closings, down from 23.5% a year earlier. The percentage of existing home closings involving foreclosures slid to 3.7% in September from 10.3% a year earlier while REO closings as a percentage of existing home closings declined to 9.1% from 13.2% a year earlier.