The San Luis Obispo, CA market saw an increase in closings of new homes in June year-over-year, moving north after a decline in May 2016. New home closings saw a 21.3% climb from a year earlier to 57. This came after a 5.1% fall year-over-year in May.
A total of 539 new homes were sold during the 12 months that ended in June, up from 529 for the year that ended in May.
Of the total number of closings, new home closings made up 12.2%. A year earlier, new home closings made up 11.3% of total closings. Closings of new and existing homes gained year-over-year in June following a fall in May year-over-year.
Pricing and Mortgage Trends
For newly sold homes, the average price declined 6.6% year-over-year in June to $557,791 per unit. This decline is a drop off from the 8.2% fall in May from a year earlier.
The average mortgage size on newly sold homes saw a fall year-over-year in contrast to new home prices. Average mortgage size sank 9.5% to $391,003 in June from a year earlier. Average mortgage size dropped 6.7% in May 2016 from a year earlier.
Other Market Trends
As a percentage of new home closings, attached unit closings have gained from last year while single-family home closings have dropped. Attached unit closings increased from 14.9% of all closings in June 2015 to 36.8% of closings in June 2016. Meanwhile, single-family home closings as a percentage of all new home closings slid to 63.2% of closings from 85.1% of closings.
Foreclosures and real estate owned (REO) closings staying steady in June from a year earlier and did not look to be a burden on the market. Together, foreclosures plus REO closings represented 7.0% of existing home closings, about the same as a year earlier The percentage of existing home closings involving foreclosures slid to 1.7% in June from 2.7% a year earlier while REO closings as a percentage of existing home closings climbed to 5.3% from 4.3%.