In May, there was a fall year-over-year in new home closings in the Port St. Lucie, FL market, but there were suggestions of market improvement with a percentage drop less steep than in April 2016. New home closings saw a 6.1% drop from a year earlier to 62. This was after the housing market saw a 11.1% decline year-over-year in April.
A total of 826 new homes were sold during the 12 months that ended in May, down from 830 for the year that ended in April.
Out of all housing closings, new home closings accounted for 4.7%. New home closings were 4.9% of overall closings last year. Following a year-over-year decline in April, closings of new and existing homes also fell year-over-year in May.
Pricing and Mortgage Trends
In May, the average price of newly sold homes sank year-over-year to $336,331 per unit, marking a 5.6% decline from the year-earlier figure. This drop compares to a 11.3% bump in April year-over-year.
In contrast to new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. It grew 10.7% in May from a year earlier to $265,189. Average mortgage size went from $269,974 in April 2015 to $269,262 in April 2016.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have gained from last year while closings of single-family homes have fallen. Attached unit closings climbed from 12.1% of all closings in May 2015 to 22.6% of closings in May 2016. Conversely, the share belonging to single-family homes dropped to 77.4% of closings from 87.9% of closings.
There was a 20.3% fall year-over-year in the average unit size of newly sold homes to 1,850 square feet in May 2016. The average size of newly sold homes moved from 2,752 square feet in April 2015 to 2,854 square feet in April 2016.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in May, but did not appear to be dragging the market. Together, foreclosures plus REO closings made up 17.8% of existing home closings, down from 31.4% a year earlier. The percentage of existing home closings involving foreclosures declined to 8.2% in May from 13.2% a year earlier while REO closings as a percentage of existing home closings fell to 9.6% from 18.2% a year earlier.