New home closings in the Atlanta, GA market climbed year-over-year in July, and there were hints that the market may be improving as the percentage surge was better than June 2015. Closings increased 26.2% from a year earlier to 1,392. In comparison, new home closings in the same month last year saw a 22.2% climb year-over-year in June.
A total of 13,688 new homes were sold during the 12 months that ended in July, up from 13,399 for the year that ended in June.
As a percentage of overall housing closings, new home closings represented 10.7% of overall housing closings. As a part of the whole, new home closings were 10.1% a year earlier. Following a year-over-year increase in June, closings of new and existing homes also climbed year-over-year in July.
Pricing and Mortgage Trends
For newly sold homes, the average price climbed 6.7% year-over-year in July to $327,456 per unit. This lift follows a move from $312,008 per unit to $313,534 from June 2014 to June 2015.
There was a boost year-over-year in the average mortgage size on new homes along with new home prices. In July 2015, there was a 4.5% boost in the average mortgage size, reaching $272,688. In June 2015, average mortgage size on newly sold homes saw a 1.3% rise year-over-year from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. Single-family home closings gained from 86.1% of new closings in July 2014 to 88.4% of closings in July 2015. At the same time, the share of new home closings belonging to attached units declined to 11.6% of closings from 13.9% of closings.
There was a 3.4% bump year-over-year in the average unit size of newly sold homes to 3,100 square feet in July 2015. In June, the average size of new homes sold went from 3,028 square feet a year earlier to 3,076 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in July, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 24.0% of closings, below 26.4% a year earlier. The percentage of existing home closings involving foreclosures dropped to 10.5% in July from 12.4% a year earlier and REO closings moved from 14.0% of existing home closings in July 2014 to 13.5% in July 2015.