The Brownsville, TX market saw a rise in new home closings in October year-over-year, snapping back from a decline in September 2015. There was a 33.3% hike in new home closings from a year earlier. In comparison, new home closings in the same month last year saw a 44.4% fall year-over-year in September.
A total of 229 new homes were sold during the 12 months that ended in October, up from 222 for the year that ended in September.
Of 439 total closings, 28 were of new homes. This is a lift from 4.0% of closings a year earlier. Following a year-over-year increase in September, closings of new and existing homes fell year-over-year in October.
Pricing and Mortgage Trends
For newly sold homes, the average price slid 3.0% year-over-year in October to $150,616 per unit. This decline compares to a 14.9% surge in September year-over-year.
Average mortgage size on new homes saw a fall year-over-year in contrast to prices of new homes. The average mortgage size declined to $135,004 in October, marking a 10.6% fall compared with last year. In September 2015, average mortgage size gained 5.8% from a year earlier.
Other Market Trends
As a percentage of new home closings, attached unit closings have grown from last year while single-family home closings have dropped. Attached unit closings rose from no part of all closings in October 2014 to 3.6% of closings in October 2015. Conversely, the share belonging to single-family homes fell to 96.4% of closings from all of closings.
The average unit size of newly sold homes slid 8.2% year-over-year to 1,441 square feet in October 2015. In September, the average size of new homes sold went from 1,605 square feet a year earlier to 1,852 square feet.
Foreclosures and real estate owned (REO) closings continued to increase in October from a year earlier and stayed a drag on the market. Foreclosures and REO closings, taken together, accounted for 26.0% of existing home closings, up from 24.3% a year earlier. The percentage of existing home closings involving foreclosures went from 13.9% in October 2014 to 14.1% in October 2015 and REO closings as a percentage of existing home closings grew to 11.9% from 10.4%.