In July, the Killeen, TX market saw a decline year-over-year in new home closings, and there were signals of worsening market conditions as the percentage decline was steeper than June 2015. Closings slid 13.3% from a year earlier to 150. This compares with the change from 141 in June 2014 to 173 in June 2015.
A total of 1,460 new homes were sold during the 12 months that ended in July, down from 1,483 for the year that ended in June.
As a percentage of overall housing closings, new home closings accounted for 18.6%. This is down from the a year earlier when new home closings represented 23.3% of total closings. For new and existing homes, closings jumped year-over-year in July after also increasing in June year-over-year.
Pricing and Mortgage Trends
The average price of new homes went from $204,611 in July 2014 to $206,572 in July 2015. This followed a 2.5% lift in June year-over-year.
Average mortgage size on new homes gained year-over-year along with new home prices. In July 2015, the average mortgage size on newly sold homes saw a 1.7% bump from a year earlier. In June 2015, average mortgage size increased 3.8% 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 climbed from 96.0% in July 2014 to all of closings in July 2015. Meanwhile, attached units as a percentage of all new home closings sank to no part of closings from 4.0% of closings.
The average unit size of newly sold homes dropped 3.9% year-over-year to 2,202 square feet in July 2015. The average size of newly sold homes moved from 2,169 square feet in June 2014 to 2,217 square feet in June 2015.
Foreclosures and real estate owned (REO) closings decreased in July from a year earlier, but stayed a drag on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 27.9% of closings, below 34.3% a year earlier. The percentage of existing home closings involving foreclosures declined to 14.2% in July from 21.0% a year earlier and REO closings moved from 13.3% of existing home closings in July 2014 to 13.7% in July 2015.