In the Jackson, TN market, new home closings sank year-over-year in March, falling after a rise in February 2016. New home closings moved from 3 a year earlier to 1 after the figure moved from 1 in February 2015 to 2 in February 2016.
A total of 47 new homes were sold during the 12 months that ended in March, down from 49 for the year that ended in February.
Last year, 3 of 180 total closings were new homes, and this percentage saw a decline as new home closings this year made up 1 of the 164 total closings. Following a year-over-year rise in February, closings of new and existing homes fell year-over-year in March.
Pricing and Mortgage Trends
The average per-unit price of new homes was $189,900, compared with $266,067 last year. This came after a 38.9% hike in February year-over-year.
There was a decline in average mortgage size on new homes, going from $225,613 last year to $151,920 in March 2016. Average mortgage size on new homes went from $137,365 in February 2015 to $174,158 in February 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in March 2016.
Foreclosures and real estate owned (REO) closings continued to rise in March from a year earlier and stayed a drag on the market. Foreclosures and REO closings, taken together, accounted for 31.3% of existing home closings, up from 22.6% a year earlier. The percentage of existing home closings involving foreclosures rose to 15.3% in March from 10.2% a year earlier while REO closings as a percentage of existing home closings increased to 16.0% from 12.4%.