Closings of new homes slid year-over-year in November in the Cape Coral, FL market, but there were signs of market improvement with a percentage decline less steep than in October 2015. There was a 6.0% fall in new home closings from a year earlier. In comparison, new home closings in the same month last year saw a 15.4% decline year-over-year in October.
A total of 2,888 new homes were sold during the 12 months that ended in November, down from 2,903 for the year that ended in October.
Of 1,760 total closings, 233 were of new homes. This marks a rise from 12.0% of total closings a year earlier. Closings of new and existing homes fell year-over-year in November after also falling in October year-over-year.
Pricing and Mortgage Trends
The average price of newly sold homes declined 3.3% year-over-year in November to $356,766 per unit. This fall compares to a 14.3% lift in October year-over-year.
For newly sold homes, the average mortgage size fell year-over-year in contrast to average price of new homes. It sank 5.3% in November from a year earlier, reaching $241,897. In October 2015, average mortgage size climbed 13.3% from a year earlier.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have risen from last year while closings of single-family homes have slumped. The share of new home closings belonging to attached units grew from 34.3% of closings in November 2014 to 38.2% of closings in November 2015. At the same time, the share belonging to single-family homes declined to 61.8% of closings from 65.7% of closings.
There was a 7.2% drop year-over-year in the average unit size of newly sold homes to 1,962 square feet in November 2015. The average size of newly sold homes moved from 2,040 square feet in October 2014 to 2,063 square feet in October 2015.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in November, but did not look to be a burden on the market. Combined, foreclosures plus REO closings represented 20.0% of existing home closings, below 34.8% a year earlier. The percentage of existing home closings involving foreclosures slid to 7.2% in November from 17.9% a year earlier while REO closings as a percentage of existing home closings declined to 12.8% from 16.9% a year earlier.