In the Greeley, CO market, closings of new homes jumped year-over-year in November, and there were signals that the market may be gaining momentum as the percentage lift proved better than October 2015. There was a 41.1% rise in new home closings from a year earlier. In comparison, new home closings in the same month last year saw a 18.4% hike year-over-year in October.
A total of 1,805 new homes were sold during the 12 months that ended in November, up from 1,761 for the year that ended in October.
As a percentage of overall housing closings, new home closings represented 26.1%. This marks a rise from 19.9% of total closings a year earlier. Following a year-over-year increase in October, closings of new and existing homes also jumped year-over-year in November.
Pricing and Mortgage Trends
The average price of new homes rose year-over-year in November to $344,735 per unit, a rise of 10.0%. This rise is smaller than the 12.5% boost in October year-over-year.
Along with new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. Average mortgage size climbed 10.6% to $292,129 in November from a year earlier. Average mortgage size climbed 16.1% in October 2015 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 fallen. Attached unit closings rose from 4.7% of all closings in November 2014 to 8.6% of closings in November 2015. Meanwhile, single-family home closings as a percentage of all new home closings declined to 91.4% of closings from 95.3% of closings.
The average unit size of newly sold homes dropped 45.2% year-over-year to 1,413 square feet in November 2015. This decline was opposite the price rise, a pattern also seen in October 2015 when the average size of newly sold homes fell 8.7% to 1,487 square feet. The average size of newly sold homes moved from 1,628 square feet in October 2014 to 1,487 square feet in October 2015.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in November, but did not appear to be dragging the market. Combined, foreclosures plus REO closings accounted for 9.4% of existing home closings, below 11.6% a year earlier. The percentage of existing home closings involving foreclosures sank to 3.7% in November from 5.3% a year earlier and REO closings moved from 6.3% of existing home closings in November 2014 to 5.6% in November 2015.