New home closings grew year-over-year in February in the Sherman, TX market, but the increase was less than January 2016. New home closings moved from 18 a year earlier to 22 after the figure moved from 5 in January 2015 to 16 in January 2016.
A total of 158 new homes were sold during the 12 months that ended in February, up from 154 for the year that ended in January.
New home closings accounted for 9.3% of overall housing closings. This is an increase on a percentage basis, as new home closings were 7.7% of total closings a year ago. Closings of new and existing homes stayed level after increasing in January year-over-year.
Pricing and Mortgage Trends
The average price of new homes was $207,630 per unit in February, up 13.9%from a year earlier. This surge compares to a 2.3% fall in January from a year earlier.
For newly sold homes, the average mortgage size grew year-over-year along with new home prices. The average mortgage size rose to $190,650 in February, marking a 18.0% bump compared with a year earlier. Average mortgage size on new homes went from $196,314 in January 2015 to $172,871 in January 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in February 2016. Single-family home closings have accounted for all of new home closings while attached unit closings have represented no part of closings.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in February, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings made up 12.6% of closings, below 17.1% a year earlier. The percentage of existing home closings involving foreclosures sank to 4.2% in February from 7.9% a year earlier and REO closings moved from 9.3% of existing home closings in February 2015 to 8.4% in February 2016.