There was an increase in closings of new homes in the Modesto, CA market in September year-over-year, and the increase was greater than August 2015. New home closings moved from 10 a year earlier to 28 after the figure moved from 12 in August 2014 to 27 in August 2015.
A total of 254 new homes were sold during the 12 months that ended in September, up from 236 for the year that ended in August.
New home closings were 28 of the 675 total closings, up on a percentage basis from 10 of 546 a year earlier. For new and existing homes, closings climbed year-over-year in September after also increasing in August year-over-year.
Pricing and Mortgage Trends
The average per-unit price of new homes was $271,679, compared with $298,014 last year. This was on the heels of a 7.5% decline in August from a year earlier.
The average mortgage size moved to $225,576, down from last year's $261,662. Average mortgage size on new homes went from $277,288 in August 2014 to $256,652 in August 2015.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen.
The average unit size of newly sold homes remained steady year-over-year at 1,861 square feet in September 2015.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in September, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings represented 16.1% of closings, below 17.0% a year earlier. The percentage of existing home closings involving foreclosures went from 6.0% in September 2014 to 6.3% in September 2015 and REO closings as a percentage of existing home closings dropped to 9.7% from 11.0% a year earlier.