In the Port St. Lucie, FL market, new home closings sank year-over-year in July, but with a percentage drop less steep than June 2016, there are hints the market may be stabilizing. Closings fell 23.3% from a year earlier to 56. This came on the heels of a 26.0% fall year-over-year in June.
A total of 788 new homes were sold during the 12 months that ended in July, down from 805 for the year that ended in June.
Out of all housing closings, new home closings made up 4.9%. A year ago, new home closings made up 5.3%. Closings of new and existing homes slid year-over-year in July after also falling in June year-over-year.
Pricing and Mortgage Trends
In July, the average value of new homes saw a 14.8% gain year-over-year as it grew to $361,975 per unit. This lift is an improvement over the 1.6% surge in June year-over-year.
For newly sold homes, the average mortgage size saw a lift year-over-year along with new home prices. In July 2016, there was a 12.5% bump in the average mortgage size, reaching $283,156. In June 2016, average mortgage size jumped 6.6% from a year earlier.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have gained from last year while closings of single-family homes have fallen. The share of new home closings belonging to attached units climbed from 9.6% of closings in July 2015 to 17.9% of closings in July 2016. At the same time, the share belonging to single-family homes slid to 82.1% of closings from 90.4% of closings.
The average unit size of newly sold homes fell 3.7% year-over-year to 2,242 square feet in July 2016. This drop was opposite the price surge, a pattern also seen in June 2016 when the average size of newly sold homes slid 3.0% to 2,334 square feet. In June, the average size of new homes sold went from 2,407 square feet a year earlier to 2,334 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in July, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, represented 19.1% of existing closings, lower than 29.7% a year earlier. The percentage of existing home closings involving foreclosures fell to 8.0% in July from 12.9% a year earlier while REO closings as a percentage of existing home closings declined to 11.1% from 16.8% a year earlier.