In January, the Topeka, KS market saw a decline year-over-year in new home closings, but the decline was less than the year-over-year decline in December. New home closings moved from 3 a year earlier to 2 after the figure moved from 8 in December 2014 to 2 in December 2015.
2 of the 254 total closings were new home closings, a shift on a percentage basis from 3 out of 233 a year earlier. Closings of new and existing homes rose year-over-year in January after also rising in December year-over-year.
Pricing and Mortgage Trends
The average new home price was $356,250, up from $231,599 a year earlier. This was on the heels of a 6.8% drop in December from a year earlier.
Average mortgage size on new homes increased to $285,000 from $199,581 last year. Average mortgage size on new homes went from $179,902 in December 2014 to $162,470 in December 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 January 2016.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in January, but did not look to be a burden on the market. Together, foreclosures plus REO closings made up 16.7% of existing home closings, down from 27.4% a year earlier. The percentage of existing home closings involving foreclosures fell to 4.8% in January from 14.3% a year earlier while REO closings as a percentage of existing home closings sank to 11.9% from 13.0% a year earlier.