In the Chico, CA market, closings of new homes sank year-over-year in May, and the decline was by a larger percentage than the April 2016. New home closings moved from 9 a year earlier to none after the figure moved from 11 in April 2015 to 1 in April 2016.
New home closings were 2.8% of total closings a year earlier, and this percentage saw a fall as new home closings this year made up none of the 278 total closings. For new and existing homes, closings declined in May after also declining in April year-over-year.
Other Market Trends
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in May, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings represented 18.0% of closings, below 18.6% a year earlier. The percentage of existing home closings involving foreclosures fell to 7.2% in May from 11.3% a year earlier while REO closings as a percentage of existing home closings grew to 10.8% from 7.2%.