In the Ogden, UT market, new home closings dropped year-over-year in March, and the percentage decline was steeper than February 2016, giving suggestion the market may be worsening. Closings slid 35.0% from a year earlier to 91. In comparison, new home closings in the same month last year saw a 2.0% drop year-over-year in February.
A total of 1,480 new homes were sold during the 12 months that ended in March, down from 1,529 for the year that ended in February.
New home closings made up 8.0% of overall housing closings. This is down from the 11.3% of closings a year earlier. Closings of new and existing homes saw a fall year-over-year in March after remaining steady in February year-over-year.
Pricing and Mortgage Trends
The average price of newly sold homes sank 4.3% year-over-year in March to $322,472 per unit. This decline is larger than the 1.3% drop in February from a year earlier.
The average mortgage size on newly sold homes saw a drop year-over-year in contrast to new home prices. In March 2016, there was a 12.3% fall in the average mortgage size on new homes to $276,937. In February 2016, average mortgage size on newly sold homes saw a 11.8% drop from a year earlier.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen. The share of new home closings belonging to attached units jumped from 9.3% of closings in March 2015 to 11.0% of closings in March 2016. Meanwhile, single-family home closings as a percentage of all new home closings declined to 89.0% of closings from 90.7% of closings.
The average unit size of newly sold homes gained 15.1% year-over-year to 2,509 square feet in March 2016. The average size of newly sold homes moved from 2,187 square feet in February 2015 to 2,330 square feet in February 2016. For newly sold homes, an average size boost contrasting with an average price fall was also seen in February 2016 when the average size of newly sold homes sank 6.5% to 2,330 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in March, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, accounted for 9.7% of existing closings, lower than 14.3% a year earlier. The percentage of existing home closings involving foreclosures declined to 4.8% in March from 6.5% a year earlier while REO closings as a percentage of existing home closings sank to 4.9% from 7.8% a year earlier.