In September, closings of new homes increased year-over-year in the Fairbanks, AK market, and the increase was greater than August 2015. New home closings moved from 1 a year earlier to 3 after the figure moved from 1 in August 2014 to 2 in August 2015.
New home closings were 3 out of 167 total closings, making up 1.8%. This is up on a percentage basis from 1 of 137 a year earlier. Closings of new and existing homes gained year-over-year in September after also rising in August year-over-year.
Pricing and Mortgage Trends
The average price of new homes rose to $298,418 from last year's $147,658. This came after a 9.8% rise in August year-over-year.
The average mortgage size on new homes was $282,468, up from $150,671. Average mortgage size on new homes went from $346,288 in August 2014 to $298,216 in August 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 September 2015.
The average unit size of newly sold homes rose from 1,064 square feet a year earlier to 1,396 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in September, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 12.8% of closings, below 23.5% a year earlier. The percentage of existing home closings involving foreclosures slid to 3.7% in September from 10.3% a year earlier while REO closings as a percentage of existing home closings fell to 9.1% from 13.2% a year earlier.