New home closings in the Portland, OR market sank year-over-year in April, a downhill move after a boost in March 2016. New home closings saw a 10.7% fall from a year earlier to 358. This was after the housing market saw a 26.2% hike year-over-year in March.
A total of 4,520 new homes were sold during the 12 months that ended in April, down from 4,563 for the year that ended in March.
Compared to a year earlier, new home closings as a percentage of total closings stayed the same at 8.6%. Following a year-over-year increase in March, closings of new and existing homes sank year-over-year in April.
Pricing and Mortgage Trends
The average per-unit price of newly sold homes gained year-over-year to $436,290 in April, up 17.0% from last year. This gain is better than the 8.1% boost in March year-over-year.
The average mortgage size on newly sold homes climbed year-over-year along with the average price of new homes. In April 2016, there was a 14.8% rise in the average mortgage size, reaching $353,752. In March 2016, average mortgage size on newly sold homes saw a 5.2% gain 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 climbed from 86.3% of new closings in April 2015 to 89.4% of closings in April 2016. Meanwhile, attached units as a percentage of all new home closings declined to 10.6% of closings from 13.7% of closings.
There was a 4.7% hike year-over-year in the average unit size of newly sold homes to 2,288 square feet in April 2016. In March, the average size of new homes sold went from 2,306 square feet a year earlier to 2,247 square feet.
Foreclosures and real estate owned (REO) closings rose in April from a year earlier and did not appear to be dragging the market. Foreclosures and REO closings, taken together, represented 12.0% of existing home closings, up from 11.8% a year earlier. The percentage of existing home closings involving foreclosures went from 4.7% in April 2015 to 5.0% in April 2016 and REO closings moved from 7.1% of existing home closings in April 2015 to 7.0% in April 2016.