In June, there was an increase in closings of new homes in the Napa, CA market year-over-year, and the increase was greater than May 2016. New home closings moved from 2 a year earlier to 10 after the figure moved from 3 in May 2015 to 5 in May 2016.
A total of 71 new homes were sold during the 12 months that ended in June, up from 63 for the year that ended in May.
New home closings were 10 out of 148 total closings, making up 6.8%. This is up on a percentage basis from 2 of 139 a year earlier. New and existing home closings climbed in June after a remaining level in May from a year earlier.
Pricing and Mortgage Trends
The average value of newly sold homes in June 2016 was $462,920, down from last year's $776,750. This followed a 22.8% lift in May year-over-year.
Average mortgage size on newly sold homes saw a decline year-over-year from $449,300 to $349,432. Average mortgage size on new homes went from $529,926 in May 2015 to $569,756 in May 2016.
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.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in June, but did not look to be a burden on the market. Together, foreclosures plus REO closings represented 4.3% of existing home closings, down from 6.6% a year earlier. The percentage of existing home closings involving foreclosures sank to 1.4% in June from 4.4% a year earlier and REO closings moved from 2.2% of existing home closings in June 2015 to 2.9% in June 2016.