New home closings in the Miami, FL market dropped year-over-year in November, but with a percentage drop less steep than October 2015, there are signs the market may be evening out. Closings slumped 25.1% from a year earlier to 636. This followed a 36.3% decline year-over-year in October.
A total of 6,569 new homes were sold during the 12 months that ended in November, down from 6,782 for the year that ended in October.
As a percentage of overall housing closings, new home closings represented 5.9%. This is a decline 7.2% of closings a year earlier. Closings of new and existing homes dropped year-over-year in November after also falling in October year-over-year.
Pricing and Mortgage Trends
For newly sold homes, the average price rose 5.2% year-over-year in November to $494,648 per unit. This hike is smaller than the 21.7% rise in October year-over-year.
For newly sold homes, the average mortgage size rose year-over-year along with new home prices. In November 2015, the average mortgage size was $330,168, up 4.1% from a year earlier. In October 2015, average mortgage size climbed 21.3% from a year earlier.
Other Market Trends
Single-family homes accounted for a greater percentage of new home closings than last year. The share of new home closings belonging to single-family homes gained from 41.6% in November 2014 to 48.6% of closings in November 2015. Conversely, the share of new home closings belonging to attached units sank to 51.4% of closings from 58.4% of closings.
The average unit size of newly sold homes rose 24.4% year-over-year to 2,449 square feet in November 2015. In October, the average size of new homes sold went from 2,420 square feet a year earlier to 2,487 square feet. An increase was also seen in October 2015 when the average size of new homes sold climbed 2.8% to 2,487 square feet.
Foreclosures and real estate owned (REO) closings fell in November from a year earlier, but stayed a drag on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 31.0% of closings, below 40.5% a year earlier. The percentage of existing home closings involving foreclosures dropped to 12.8% in November from 19.6% a year earlier while REO closings as a percentage of existing home closings declined to 18.2% from 21.0% a year earlier.