There was an increase in new home closings in the Greeley, CO market in September year-over-year, and the percentage rise was greater than August 2015, giving hints of improving market conditions. Closings gained 59.6% from a year earlier to 158. In comparison, new home closings in the same month last year saw a 35.0% jump year-over-year in August.
A total of 1,734 new homes were sold during the 12 months that ended in September, up from 1,675 for the year that ended in August.
Out of all housing closings, new home closings accounted for 21.3%. This marks a rise from 16.3% of total closings a year earlier. After remaining steady in August from a year earlier, closings of new and existing homes climbed in September.
Pricing and Mortgage Trends
The average per-unit value of new homes slid year-over-year to $323,893 in September, a decline of 3.8% from a year earlier. This decline compares to a 12.7% gain in August year-over-year.
For newly sold homes, the average mortgage size saw a decline year-over-year in contrast to new home prices. It sank 4.7% in September from a year earlier to $277,873. In August 2015, average mortgage size on newly sold homes saw a 13.2% surge year-over-year from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. The share of new home closings belonging to single-family homes grew from 94.9% in September 2014 to 96.8% of closings in September 2015. Conversely, the share of new home closings belonging to attached units fell to 3.2% of closings from 5.1% of closings.
There was a 3.4% drop year-over-year in the average unit size of newly sold homes to 2,365 square feet in September 2015. In August, the average size of new homes sold went from 1,851 square feet a year earlier to 2,468 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in September, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, made up 6.8% of existing closings, lower than 11.0% a year earlier. The percentage of existing home closings involving foreclosures declined to 3.3% in September from 5.1% a year earlier while REO closings as a percentage of existing home closings slid to 3.6% from 5.9% a year earlier.