In July, there was a fall year-over-year in new home closings in the Sebastian, FL market, moving south after a surge in June 2016. There was a 2.5% decline in new home closings from a year earlier. In comparison, new home closings in the same month last year saw a 11.1% jump year-over-year in June.
A total of 536 new homes were sold during the 12 months that ended in July, down from 537 for the year that ended in June.
Out of all housing closings, new home closings accounted for 9.8%. This is better than the 8.0% of closings a year earlier. Closings of new and existing homes dropped year-over-year in July after also falling in June year-over-year.
Pricing and Mortgage Trends
The average price of new homes jumped year-over-year in July to $262,214 per unit, a rise of 10.8%. This rise is smaller than the 12.0% hike in June year-over-year.
The average mortgage size on newly sold homes saw a boost year-over-year along with new home prices. It grew to $209,572 in July, a 6.6% rise. In June 2016, average mortgage size on newly sold homes saw a 18.5% bump year-over-year from a year earlier.
Other Market Trends
As a percentage of new home closings, attached unit closings have grown from last year while single-family home closings have dropped. The share of new home closings belonging to attached units increased from no part of closings in July 2015 to 7.7% of closings in July 2016. At the same time, the share belonging to single-family homes dropped to 92.3% of closings from all of closings.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in July, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 11.6% of existing closings, lower than 27.8% a year earlier. The percentage of existing home closings involving foreclosures fell to 5.8% in July from 8.0% a year earlier while REO closings as a percentage of existing home closings dropped to 5.8% from 19.8% a year earlier.