The Spokane, WA market saw a drop in new home closings year-over-year in November, and with a percentage drop steeper than October 2015, there were signals the market may be worsening. Closings declined 29.8% from a year earlier to 33. This was after the housing market saw a 19.6% decline year-over-year in October.
A total of 644 new homes were sold during the 12 months that ended in November, down from 658 for the year that ended in October.
New home closings accounted for 6.1% of overall housing closings. This is down from the 8.0% of closings a year earlier. Closings of new and existing homes saw a decline year-over-year in November after remaining steady in October year-over-year.
Pricing and Mortgage Trends
For newly sold homes, the average price moved from $274,798 in November 2014 to $276,071 in November 2015. This followed a 9.7% rise in October year-over-year.
The average mortgage size on newly sold homes sank year-over-year in contrast to the average price of new homes. It dropped to $224,630 in November, a 1.1% fall. In October 2015, average mortgage size on newly sold homes saw a 11.6% surge year-over-year from a year earlier.
Other Market Trends
The percentage of new home closings belonging to single-family homes has risen from last year while the portion of new home closings belonging to attached units has dropped. Single-family home closings climbed from 91.5% of new closings in November 2014 to 97.0% of closings in November 2015. Conversely, the share of new home closings belonging to attached units dropped to 3.0% of closings from 8.5% of closings.
The average unit size of newly sold homes jumped 6.7% year-over-year to 2,272 square feet in November 2015. The average size of newly sold homes moved from 2,065 square feet in October 2014 to 2,219 square feet in October 2015.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in November, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, accounted for 17.6% of existing closings, lower than 26.8% a year earlier. The percentage of existing home closings involving foreclosures sank to 6.3% in November from 12.0% a year earlier while REO closings as a percentage of existing home closings dropped to 11.2% from 14.8% a year earlier.