In April, there was an increase in closings of new homes in the Clarksville, TN-KY market year-over-year, but with an increase less steep than that of March 2016, the market seemed to be showing signs of evening out. Closings rose 24.5% from a year earlier to 66. This came after a 53.3% jump year-over-year in March.
A total of 711 new homes were sold during the 12 months that ended in April, up from 698 for the year that ended in March.
New home closings accounted for 10.3% of overall housing closings. This is a rise from 8.8% of closings a year earlier. Closings of new and existing homes grew year-over-year in April after also rising in March year-over-year.
Pricing and Mortgage Trends
In April, the average per-unit price of new homes declined by 3.1% year-over-year to $210,153. This drop compares to a 8.9% boost in March year-over-year.
The average mortgage size on newly sold homes saw a decline year-over-year in contrast to new home prices. It fell to $208,709 in April, a 1.7% decline. Average mortgage size rose 2.7% in March 2016 from a year earlier.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in April 2016. Single-family home closings have represented all of new home closings while attached unit closings have made up no part of closings.
There was a 20.0% decline year-over-year in the average unit size of newly sold homes to 1,568 square feet in April 2016. The average size of newly sold homes moved from 2,003 square feet in March 2015 to 2,182 square feet in March 2016.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in April, but did not look to be a burden on the market. Together, foreclosures plus REO closings accounted for 21.3% of existing home closings, down from 33.0% a year earlier. The percentage of existing home closings involving foreclosures fell to 9.5% in April from 18.7% a year earlier while REO closings as a percentage of existing home closings dropped to 11.8% from 14.3% a year earlier.
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