In the Gainesville, FL market, new home closings increased year-over-year in March, but with a less pronounced percentage surge than February 2016, there are suggestions of market stabilization. Closings rose 13.6% from a year earlier to 25. This followed a 37.5% boost year-over-year in February.
A total of 399 new homes were sold during the 12 months that ended in March, up from 396 for the year that ended in February.
Out of all housing closings, new home closings accounted for 7.0%. This marks a rise from 5.7% of total closings a year earlier. Closings of new and existing homes fell year-over-year in March after also falling in February year-over-year.
Pricing and Mortgage Trends
Average price of newly sold homes had a 11.2% rise year-over-year to $245,311 per unit in March. This hike is smaller than the 14.5% boost in February year-over-year.
For newly sold homes, the average mortgage size slid year-over-year in contrast to average price of new homes. It declined 3.0% in March from a year earlier to $213,108. In February 2016, average mortgage size jumped 20.8% from a year earlier.
Other Market Trends
Single-family homes accounted for a greater percentage of new home closings than last year. Single-family home closings climbed from 86.4% of new closings in March 2015 to 88.0% of closings in March 2016. Conversely, the share of new home closings belonging to attached units fell to 12.0% of closings from 13.6% of closings.
The average unit size of newly sold homes sank 6.6% year-over-year to 1,629 square feet in March 2016. In February, the average size of new homes sold went from 2,091 square feet a year earlier to 3,894 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in March, but did not look to be a burden on the market. Together, foreclosures plus REO closings made up 21.9% of existing home closings, down from 35.0% a year earlier. The percentage of existing home closings involving foreclosures dropped to 11.7% in March from 13.4% a year earlier while REO closings as a percentage of existing home closings declined to 10.2% from 21.6% a year earlier.