In September, there was a drop year-over-year in new home closings in the Reno, NV market, drawing a downward slope off of a rise in August 2015. Closings dropped 23.6% from a year earlier to 94. This followed a 28.0% climb year-over-year in August.
A total of 1,380 new homes were sold during the 12 months that ended in September, down from 1,409 for the year that ended in August.
New home closings represented 10.4% of overall housing closings. This is down from the 13.3% of closings a year earlier. Following a year-over-year increase in August, closings of new and existing homes dropped year-over-year in September.
Pricing and Mortgage Trends
In September, the average price of newly sold homes slid 3.2% year-over-year to $363,947 per unit. This drop compares to a 3.5% lift in August year-over-year.
For newly sold homes, the average mortgage size declined year-over-year in contrast to average price of new homes. Average mortgage size slid by 5.5% from a year earlier, settling at $266,439 in September. In August 2015, average mortgage size grew 1.7% 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. Attached unit closings jumped from 0.8% of all closings in September 2014 to 12.8% of closings in September 2015. Conversely, the share belonging to single-family homes dropped to 87.2% of closings from 99.2% of closings.
There was a 6.4% fall year-over-year in the average unit size of newly sold homes to 2,137 square feet in September 2015. In August, the average size of new homes sold went from 2,366 square feet a year earlier to 2,373 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in September, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 13.8% of closings, below 16.9% a year earlier. The percentage of existing home closings involving foreclosures went from 8.0% in September 2014 to 7.0% in September 2015 and REO closings as a percentage of existing home closings sank to 6.8% from 9.0% a year earlier.