In the Muskegon, MI market, new home closings dropped year-over-year in May, and the decline was by a larger percentage than the April 2016. New home closings moved from 7 a year earlier to 1 after the figure moved from 5 in April 2015 to 1 in April 2016.
New home closings were 1 out of the 167 total closings, down on a percentage basis from 7 of 207 a year earlier. Following a year-over-year increase in April, closings of new and existing homes fell year-over-year in May.
Pricing and Mortgage Trends
The average new home price was $200,000, down from $217,664 a year earlier. This was on the heels of a 71.9% lift in April year-over-year.
Average mortgage size on newly sold homes saw a decline year-over-year from $187,128 to $88,000.
Other Market Trends
As a share of new home closings, single-family home closings have risen from last year while the share belonging to attached units has fallen.
Foreclosures and real estate owned (REO) closings decreased in May from a year earlier, but remained a drag on the market. Foreclosures and REO closings, taken together, accounted for 26.5% of existing closings, lower than 37.5% a year earlier. The percentage of existing home closings involving foreclosures slid to 13.9% in May from 19.0% a year earlier while REO closings as a percentage of existing home closings dropped to 12.7% from 18.5% a year earlier.