In the Fort Worth, TX market, new home closings jumped year-over-year in September, and the market seemed to be suggesting strengthening with a percentage lift more robust than August 2015. There was a 20.0% jump in new home closings from a year earlier. This was after the housing market saw a 8.1% boost year-over-year in August.
A total of 21,850 new homes were sold during the 12 months that ended in September, up from 21,516 for the year that ended in August.
As a percentage of overall housing closings, new home closings made up 14.5% of overall housing closings. A year ago, new home closings represented 13.7%. Following a year-over-year increase in August, closings of new and existing homes also grew year-over-year in September.
Pricing and Mortgage Trends
The average price of new homes rose year-over-year 12.5% in September to $339,711 per unit. This gain is better than the 5.2% hike in August year-over-year.
Along with new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. In September 2015, the average mortgage size on newly sold homes saw a 11.1% surge from a year earlier. Average mortgage size grew 5.9% in August 2015 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. Single-family home closings jumped from 95.5% of new closings in September 2014 to 96.8% of closings in September 2015. Meanwhile, attached units as a percentage of all new home closings sank to 3.2% of closings from 4.5% of closings.
The average unit size of newly sold homes jumped 6.7% year-over-year to 3,085 square feet in September 2015. An increase was also seen in August 2015 when the average size of new homes sold gained 8.0% to 3,126 square feet. In August, the average size of new homes sold went from 2,894 square feet a year earlier to 3,126 square feet.
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. Foreclosures and REO closings, taken together, made up 11.9% of existing closings, lower than 15.5% a year earlier. The percentage of existing home closings involving foreclosures dropped to 5.5% in September from 7.5% a year earlier while REO closings as a percentage of existing home closings declined to 6.4% from 8.0% a year earlier.
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