In the Midland, TX market, closings of new homes declined year-over-year in July, but the decline was less than the year-over-year decline in June. New home closings moved from 13 a year earlier to 3 after the figure moved from 22 in June 2015 to 4 in June 2016.
A total of 67 new homes were sold during the 12 months that ended in July, down from 77 for the year that ended in June.
New home closings represented 3 out of the 204 total closings, which is a smaller percentage than the 13 of 312 total closings a year earlier. For new and existing homes, closings slid in July after also declining in June year-over-year.
Pricing and Mortgage Trends
The average new home price was $343,188, up from $300,066 a year earlier. This was on the heels of a 6.4% lift in June year-over-year.
From the year-ago figure of $260,333, the average mortgage size on new homes moved up to $274,550. Average mortgage size on new homes went from $291,411 in June 2015 to $311,973 in June 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in July 2016.
The average unit size of newly sold homes rose from 2,161 square feet a year earlier to 2,480 square feet.
Foreclosures and real estate owned (REO) closings rose in July from a year earlier and did not appear to be dragging the market. Combined, foreclosures plus REO closings represented 9.0% of existing home closings, above 8.7% a year earlier. The percentage of existing home closings involving foreclosures rose to 7.0% in July from 4.7% a year earlier while REO closings as a percentage of existing home closings dropped to 2.0% from 4.0% a year earlier.