In June, there was a decline year-over-year in new home closings in the Florence, SC market, and the decline was by a larger percentage than the May 2016. New home closings moved from 15 a year earlier to 3 after the figure moved from 16 in May 2015 to 5 in May 2016.
On a percentage basis, new home closings as a part of total closings decreased to 4.7% from 6.8% a year earlier. Following a year-over-year decline in May, closings of new and existing homes also sank year-over-year in June.
Pricing and Mortgage Trends
The average per-unit price of new homes was $159,133, compared with $216,495 last year. This came after a 3.3% fall in May from a year earlier.
There was a decline in average mortgage size on new homes, going from $187,906 last year to $148,061 in June 2016. Average mortgage size on new homes went from $209,839 in May 2015 to $221,423 in May 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in June 2016.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in June, but did not appear to be dragging the market. Combined, foreclosures plus REO closings accounted for 18.0% of existing home closings, below 19.8% a year earlier. The percentage of existing home closings involving foreclosures rose to 13.1% in June from 11.1% a year earlier while REO closings as a percentage of existing home closings dropped to 4.9% from 8.7% a year earlier.