In the Clarksville, TN-KY market, closings of new homes fell year-over-year in July, a shift downward off a rise in June 2016. Closings slumped 20.8% from a year earlier to 61. This came after a 29.3% hike year-over-year in June.
A total of 709 new homes were sold during the 12 months that ended in July, down from 725 for the year that ended in June.
As a percentage of overall housing closings, new home closings accounted for 10.3% of overall housing closings. A year ago, 10.4% of total closings were new home closings. For new and existing homes, closings fell in July after also declining in June year-over-year.
Pricing and Mortgage Trends
The average price of new homes increased year-over-year 4.3% in July to $245,217 per unit. This lift is smaller than the 4.5% hike in June year-over-year.
The average mortgage size on newly sold homes increased year-over-year along with the average price of new homes. In July 2016, the average mortgage size was $226,053, a 1.5% bump from a year earlier. In June 2016, average mortgage size jumped 4.5% from a year earlier.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in July 2016. Single-family home closings have accounted for all of new home closings while attached unit closings have represented no part of closings.
There was a 38.7% hike year-over-year in the average unit size of newly sold homes to 2,600 square feet in July 2016. In June, the average size of new homes sold went from 2,067 square feet a year earlier to 2,085 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in July, but did not appear to be dragging the market. Combined, foreclosures plus REO closings represented 16.9% of existing home closings, below 25.5% a year earlier. The percentage of existing home closings involving foreclosures slid to 6.7% in July from 13.3% a year earlier while REO closings as a percentage of existing home closings declined to 10.1% from 12.1% a year earlier.
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