In the Lynchburg, VA market, new home closings increased year-over-year in October, and the increase was greater than September 2015. New home closings moved from 3 a year earlier to 9 after the figure moved from 5 in September 2014 to 7 in September 2015.
A total of 98 new homes were sold during the 12 months that ended in October, up from 92 for the year that ended in September.
New home closings were 9 out of 304 total closings, making up 3.0%. This is up on a percentage basis from 3 of 210 a year earlier. Closings of new and existing homes gained year-over-year in October after also rising in September year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes in October 2015 was $253,604, down from last year's $274,933. This was on the heels of a 31.5% decline in September from a year earlier.
The average mortgage size moved to $237,254, down from last year's $254,768. Average mortgage size on new homes went from $291,307 in September 2014 to $226,484 in September 2015.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in October 2015.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in October, but did not look to be a burden on the market. Combined, foreclosures plus REO closings accounted for 22.7% of existing home closings, below 25.6% a year earlier. The percentage of existing home closings involving foreclosures declined to 12.2% in October from 19.3% a year earlier while REO closings as a percentage of existing home closings grew to 10.5% from 6.3%.