New home closings slid year-over-year in February in the Killeen, TX market, drawing a downward slope off of a rise in January 2016. New home closings saw a 9.5% drop from a year earlier to 105. This came on the heels of a 2.2% rise year-over-year in January.

A total of 1,548 new homes were sold during the 12 months that ended in February, down from 1,559 for the year that ended in January.

As a percentage of overall housing closings, new home closings represented 18.1%. This is down from the 19.9% of closings a year earlier. Closings of new and existing homes remained steady in February after falling in January year-over-year.

Pricing and Mortgage Trends

The average price of new homes went from $206,241 in February 2015 to $206,786 in February 2016. This was on the heels of a 9.8% rise in January year-over-year.

The average mortgage size on new homes moved north year-over-year along with new home prices. In February 2016, the average mortgage size on newly sold homes saw a 1.0% hike from a year earlier. In January 2016, average mortgage size grew 10.3% from a year earlier.

Other Market Trends

There has not been much movement in the composition of the market with regard of the types of properties sold. From a year ago, single-family home closings have moved from 99.1% of new home closings to all of closings while attached units have gone from 0.9% of closings to no part of closings.

There was a 6.9% drop year-over-year in the average unit size of newly sold homes to 2,096 square feet in February 2016. In January, the average size of new homes sold went from 2,288 square feet a year earlier to 2,193 square feet.

Foreclosures and real estate owned (REO) closings fell in February from a year earlier, but stayed a drag on the market. Foreclosures and REO closings, taken together, made up 27.8% of existing closings, lower than 36.3% a year earlier. The percentage of existing home closings involving foreclosures slid to 11.2% in February from 18.8% a year earlier and REO closings moved from 17.5% of existing home closings in February 2015 to 16.6% in February 2016.

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