In the College Station, TX market in September, closings of new homes sank year-over-year, but the percentage drop was not as steep as August 2015, suggesting that the market may be stabilizing. New home closings saw a 33.3% decline from a year earlier to 18. This came on the heels of a 40.9% drop year-over-year in August.
A total of 450 new homes were sold during the 12 months that ended in September, down from 459 for the year that ended in August.
New home closings made up 5.9% of overall housing closings. This is down from the a year earlier when new home closings made up 9.1% of total closings. Following a year-over-year increase in August, closings of new and existing homes also jumped year-over-year in September.
Pricing and Mortgage Trends
Average price of newly sold homes had a 10.2% fall year-over-year to $275,900 per unit in September. This decline follows a move from $253,466 per unit in August 2014 to $254,343 in August 2015.
The average mortgage size on newly sold homes saw a drop year-over-year in contrast to new home prices. It fell 3.2% in September from a year earlier to $247,904. It went from $212,398 to $211,173 from August 2014 to August 2015.
Other Market Trends
As a percentage of new home closings, attached unit closings have grown from last year while single-family home closings have dropped. The share of new home closings belonging to attached units increased from 3.7% of closings in September 2014 to 5.6% of closings in September 2015. Conversely, the share belonging to single-family homes slid to 94.4% of closings from 96.3% of closings.
The average unit size of newly sold homes gained 11.8% year-over-year to 2,614 square feet in September 2015. The average size of newly sold homes moved from 2,126 square feet in August 2014 to 2,763 square feet in August 2015.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in September, but did not appear to be dragging the market. Together, foreclosures plus REO closings accounted for 5.9% of existing home closings, down from 10.3% a year earlier. The percentage of existing home closings involving foreclosures declined to 3.1% in September from 4.8% a year earlier while REO closings as a percentage of existing home closings sank to 2.8% from 5.5% a year earlier.