There was an increase in closings of new homes in the Kalamazoo, MI market in September year-over-year,. Closings stood at 16 in September after being 14 a year earlier and remaining unchanged at 14 in August from a year earlier.
A total of 138 new homes were sold during the 12 months that ended in September, up from 136 for the year that ended in August.
New home closings were 16 out of the 682 total closings, a move on a percentage basis from 14 of 550 a year earlier. Following a fall in August year-over-year, closings of new and existing homes increased year-over-year in September.
Pricing and Mortgage Trends
The average per-unit price of new homes was $212,561, compared with $237,888 last year. This came after a 43.6% decline in August from a year earlier.
The average mortgage size on new homes was $218,798, up from $212,061. Average mortgage size on new homes went from $287,167 in August 2014 to $195,406 in August 2015.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen.
Foreclosures and real estate owned (REO) closings continued to increase in September from a year earlier and remained a burden on the market. Combined, foreclosures plus REO closings made up 28.5% of existing home closings, above 22.6% a year earlier. The percentage of existing home closings involving foreclosures slid to 7.2% in September from 11.8% a year earlier while REO closings as a percentage of existing home closings grew to 21.3% from 10.8%.