In August, the Hanford, CA market saw a decline year-over-year in new home closings, sliding down after a boost in July 2015. Closings dropped 3.7% from a year earlier to 26. This came after a 75.0% climb year-over-year in July.
A total of 248 new homes were sold during the 12 months that ended in August, down from 249 for the year that ended in July.
New home closings made up 16.8% of overall housing closings. This is down from the a year earlier when new home closings represented 19.1% of total closings. For new and existing homes, closings jumped year-over-year in August after also increasing in July year-over-year.
Pricing and Mortgage Trends
In August, the average price of newly sold homes rose 1.7% year-over-year to $252,765 per unit. This rise compares to a 7.1% decline in July from a year earlier.
Average mortgage size on new homes was $241,309 in August, same as a year earlier. In July 2015, average mortgage size sank 8.1% from a year earlier.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have risen from last year while closings of single-family homes have slumped. The share of new home closings belonging to attached units gained from no part of closings in August 2014 to 7.7% of closings in August 2015. At the same time, the share belonging to single-family homes declined to 92.3% of closings from all of closings.
The average unit size of newly sold homes jumped 5.8% year-over-year to 2,067 square feet in August 2015. The average size of newly sold homes moved from 1,973 square feet in July 2014 to 1,891 square feet in July 2015.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in August, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings represented 24.0% of closings, below 29.8% a year earlier. The percentage of existing home closings involving foreclosures sank to 9.3% in August from 17.5% a year earlier while REO closings as a percentage of existing home closings gained to 14.7% from 12.3%.