Closings of new homes in the Lincoln, NE market fell year-over-year in August, moving downward after a bump in July 2015. Closings fell 21.2% from a year earlier to 41. This came on the heels of a 17.9% rise year-over-year in July.
A total of 623 new homes were sold during the 12 months that ended in August, down from 634 for the year that ended in July.
Out of all housing closings, new home closings represented 7.3%. This is a drop 9.4% of closings a year earlier. Closings of new and existing homes jumped year-over-year in August following a fall in July year-over-year.
Pricing and Mortgage Trends
In August, there was a 9.0% rise year-over-year in the average price of newly sold homes, reaching $273,778 per unit. This boost is better than the 7.5% hike in July year-over-year.
Average mortgage size on new homes climbed year-over-year along with new home prices. In August 2015, the average mortgage size was $231,104, up 2.9% from a year earlier. Average mortgage size grew 12.5% in July 2015 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 gained from 67.3% in August 2014 to 78.0% of closings in August 2015. Meanwhile, attached units as a percentage of all new home closings fell to 22.0% of closings from 32.7% of closings.
For all new homes sold, the average unit size declined 7.5% year-over-year to 1,657 square feet in August 2015. For newly sold homes, an average size decline contrasting with an average price surge was also seen in July 2015 when the average size of newly sold homes slid 3.8% to 1,687 square feet. The average size of newly sold homes moved from 1,753 square feet in July 2014 to 1,687 square feet in July 2015.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in August, but did not look to be a burden on the market. Combined, foreclosures plus REO closings represented 8.0% of existing home closings, below 12.2% a year earlier. The percentage of existing home closings involving foreclosures fell to 3.6% in August from 5.6% a year earlier while REO closings as a percentage of existing home closings dropped to 4.4% from 6.6% a year earlier.