In April, closings of new homes in the Wichita, KS market jumped year-over-year, but with an increase less steep than that of March 2016, the market seemed to be showing signs of stabilizing. New home closings saw a 7.3% jump from a year earlier to 59. This was after the housing market saw a 35.0% hike year-over-year in March.
A total of 576 new homes were sold during the 12 months that ended in April, up from 572 for the year that ended in March.
Out of all housing closings, new home closings accounted for 5.2%. As a part of the whole, new home closings were 4.7% a year earlier. Following a year-over-year increase in March, closings of new and existing homes sank year-over-year in April.
Pricing and Mortgage Trends
Average price of newly sold homes had a 3.3% gain year-over-year to $269,367 per unit in April. This lift compares to a 5.4% fall in March from a year earlier.
For newly sold homes, the average mortgage size saw a bump year-over-year along with new home prices. It increased to $231,054 in April, a 2.1% rise. In March 2016, average mortgage size fell 6.0% from a year earlier.
Other Market Trends
Single-family homes accounted for a greater percentage of new home closings than last year. The share of new home closings belonging to single-family homes grew from 98.2% in April 2015 to all of closings in April 2016. Meanwhile, attached units as a percentage of all new home closings fell to no part of closings from 1.8% of closings.
The average unit size of newly sold homes sank 25.7% year-over-year to 2,036 square feet in April 2016. The average size of newly sold homes moved from 2,475 square feet in March 2015 to 2,645 square feet in March 2016.
Foreclosures and real estate owned (REO) closings increased in April from a year earlier and did not appear to be dragging the market. Foreclosures and REO closings, taken together, represented 15.8% of existing home closings, up from 11.5% a year earlier. The percentage of existing home closings involving foreclosures went from 4.1% in April 2015 to 4.2% in April 2016 and REO closings as a percentage of existing home closings increased to 11.6% from 7.4%.