New home closings in the Boulder, CO market declined year-over-year in July, a drop following an increase in June 2016. New home closings saw a 13.6% drop from a year earlier to 57. This was after the housing market saw a 17.2% hike year-over-year in June.
A total of 693 new homes were sold during the 12 months that ended in July, down from 702 for the year that ended in June.
New home closings represented 9.3% of overall housing closings. A year ago, new home closings represented 8.7%. Following a year-over-year decline in June, closings of new and existing homes also fell year-over-year in July.
Pricing and Mortgage Trends
The average price of new homes increased year-over-year 4.8% in July to $551,898 per unit. This bump is smaller than the 21.2% hike in June year-over-year.
The average mortgage size on newly sold homes rose year-over-year along with the average price of new homes. The average mortgage size rose to $413,079 in July, marking a 15.6% gain compared with a year earlier. In June 2016, average mortgage size on newly sold homes saw a 15.8% surge year-over-year from a year earlier.
Other Market Trends
There has been little change in the composition of the market with regard to the types of properties sold. From a year ago, single-family home closings have moved from 69.7% of new home closings to 70.2% of closings while attached units have gone from 30.3% of closings to 29.8% of closings.
There was a 5.5% drop year-over-year in the average unit size of newly sold homes to 2,384 square feet in July 2016. In June, the average size of new homes sold went from 2,652 square feet a year earlier to 2,694 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in July, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, made up 1.3% of existing closings, lower than 3.2% a year earlier. The percentage of existing home closings involving foreclosures went from 1.1% in July 2015 to 0.5% in July 2016 and REO closings as a percentage of existing home closings declined to 0.7% from 2.0% a year earlier.