Closings of new homes dropped year-over-year in April in the Winchester, VA market, moving south after a gain in March 2016. Closings fell 20.0% from a year earlier to 16. This came after a 24.1% hike year-over-year in March.
A total of 337 new homes were sold during the 12 months that ended in April, down from 341 for the year that ended in March.
As a percentage of overall housing closings, new home closings made up 9.2%. This is a decline 11.1% of closings a year earlier. Closings of new and existing homes slid year-over-year in April after also falling in March year-over-year.
Pricing and Mortgage Trends
The average price of new homes dropped 5.0% year-over-year in April to $306,340 per unit. This fall is larger than the 1.2% decline in March from a year earlier.
The average mortgage size on newly sold homes moved south year-over-year in contrast to new home prices. The average mortgage size declined to $241,841 in April, marking a 13.0% fall compared with last year. It went from $281,078 to $278,569 from March 2015 to March 2016.
Other Market Trends
As a percentage of new home closings, attached unit closings have risen from last year while single-family home closings have dropped. The share of new home closings belonging to attached units increased from 30.0% of closings in April 2015 to 43.8% of closings in April 2016. Conversely, the share belonging to single-family homes dropped to 56.2% of closings from 70.0% of closings.
For all new homes sold, the average unit size fell 6.5% year-over-year to 2,738 square feet in April 2016. A decrease in both the average size and price of newly sold homes was also seen in March 2016 when the average size grew 8.5% to 2,511 square feet. In March, the average size of new homes sold went from 2,743 square feet a year earlier to 2,511 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in April, but did not appear to be dragging the market. Together, foreclosures plus REO closings made up 13.4% of existing home closings, down from 19.4% a year earlier. The percentage of existing home closings involving foreclosures fell to 4.5% in April from 10.0% a year earlier and REO closings moved from 9.4% of existing home closings in April 2015 to 8.9% in April 2016.