In the Lincoln, NE market in February, closings of new homes dropped year-over-year, a shift downward off a lift in January 2016. There was a 7.7% drop in new home closings from a year earlier. This followed a 2.7% boost year-over-year in January.
A total of 626 new homes were sold during the 12 months that ended in February, down from 629 for the year that ended in January.
As a percentage of overall housing closings, new home closings represented 10.1% of overall housing closings. New home closings were 11.0% of overall closings last year. For new and existing homes, closings climbed year-over-year in February after also increasing in January year-over-year.
Pricing and Mortgage Trends
The average price of new homes jumped year-over-year 1.1% in February to $267,833 per unit. This gain is smaller than the 10.2% hike in January year-over-year.
The average mortgage size on new homes moved north year-over-year along with new home prices. Average mortgage size gained 3.9% to $211,350 in February from a year earlier. In January 2016, average mortgage size on newly sold homes saw a 10.6% lift year-over-year from a year earlier.
Other Market Trends
Single-family homes accounted for a greater percentage of new home closings than last year. Single-family home closings grew from 66.7% of new closings in February 2015 to 88.9% of closings in February 2016. At the same time, the share of new home closings belonging to attached units fell to 11.1% of closings from 33.3% of closings.
The average unit size of newly sold homes dropped 12.1% year-over-year to 1,404 square feet in February 2016. The average size of newly sold homes moved from 1,739 square feet in January 2015 to 2,121 square feet in January 2016.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in February, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings represented 11.8% of closings, below 16.2% a year earlier. The percentage of existing home closings involving foreclosures slid to 6.2% in February from 8.3% a year earlier while REO closings as a percentage of existing home closings fell to 5.6% from 8.0% a year earlier.