Closings of new homes in the Santa Barbara, CA market declined year-over-year in April, a downhill move after a surge in March 2016. New home closings saw a fall of 42.3% from the year earlier to 15. This came on the heels of a 8.0% jump year-over-year in March.
A total of 394 new homes were sold during the 12 months that ended in April, down from 405 for the year that ended in March.
Out of all housing closings, new home closings accounted for 4.9%. This is down from the 7.4% of closings a year earlier. For new and existing homes, closings slid in April after also declining in March year-over-year.
Pricing and Mortgage Trends
Average value of new homes sold in April was $496,467 per unit, down 23.3% from a year earlier. This decline is a drop off from the 36.7% fall in March from a year earlier.
Average mortgage size on new homes declined year-over-year in contrast to new home prices. Average mortgage size fell 13.5% to $410,634 in April from a year earlier. Average mortgage size sank 16.0% in March 2016 from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. The share of new home closings belonging to single-family homes grew from 65.4% in April 2015 to all of closings in April 2016. Conversely, the share of new home closings belonging to attached units fell to no part of closings from 34.6% of closings.
There was a 50.9% gain year-over-year in the average unit size of newly sold homes to 2,147 square feet in April 2016.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in April, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, represented 7.2% of existing closings, lower than 9.3% a year earlier. The percentage of existing home closings involving foreclosures declined to 2.7% in April from 5.3% a year earlier and REO closings moved from 4.0% of existing home closings in April 2015 to 4.5% in April 2016.