In the Medford, OR market, closings of new homes sank year-over-year in May, and the decline was by a larger percentage than the April 2016. New home closings moved from 16 a year earlier to 1 after the figure moved from 15 in April 2015 to 1 in April 2016.
A total of 96 new homes were sold during the 12 months that ended in May, down from 111 for the year that ended in April.
On a percentage basis, new home closings as a part of total closings decreased to 0.3% from 4.1% a year earlier. Closings of new and existing homes dropped year-over-year in May after also falling in April year-over-year.
Pricing and Mortgage Trends
The average new home price was $386,000, up from $288,601 a year earlier. This came after a 44.3% fall in April from a year earlier.
The average mortgage size on new homes was $308,800, up from $216,490. Average mortgage size on new homes went from $286,336 in April 2015 to $172,565 in April 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 May 2016.
Foreclosures and real estate owned (REO) closings increased in May from a year earlier and did not look to be a burden on the market. Foreclosures and REO closings, taken together, made up 16.0% of existing home closings, up from 14.8% a year earlier. The percentage of existing home closings involving foreclosures rose to 6.9% in May from 4.5% a year earlier while REO closings as a percentage of existing home closings fell to 9.1% from 10.3% a year earlier.