In May, the Fort Smith, AR market saw a fall year-over-year in new home closings, and the decline was by a larger percentage than the April 2016. New home closings moved from 13 a year earlier to 2 after the figure moved from 7 in April 2015 to 4 in April 2016.
A total of 89 new homes were sold during the 12 months that ended in May, down from 100 for the year that ended in April.
Last year, 13 of 386 total closings were new homes, and this percentage saw a decline as new home closings this year made up 2 of the 343 total closings. Following a year-over-year decline in April, closings of new and existing homes also dropped year-over-year in May.
Pricing and Mortgage Trends
The average new home price was $204,750, up from $178,573 a year earlier. This followed a 21.5% fall in April from a year earlier.
The average mortgage size on new homes was $168,625, up from $160,379. Average mortgage size on new homes went from $198,504 in April 2015 to $153,302 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 continued to fall from a year earlier in May, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, made up 21.1% of existing closings, lower than 22.5% a year earlier. The percentage of existing home closings involving foreclosures went from 11.3% in May 2015 to 10.3% in May 2016 and REO closings moved from 11.3% of existing home closings in May 2015 to 10.9% in May 2016.