In July, the Hot Springs, AR market saw a fall year-over-year in new home closings, declining after staying relatively stable in June from the year earlier. Closings stood at 1 in July after being 4 a year earlier and remaining unchanged at 1 in June from a year earlier.
On a percentage basis, new home closings as a part of total closings decreased to 0.5% from 1.9% a year earlier. For new and existing homes, closings rose year-over-year in July after also increasing in June year-over-year.
Pricing and Mortgage Trends
The average price of new homes was $770,000, an increase from $246,600 a year earlier. This followed a 78.0% drop in June from a year earlier.
Average mortgage size on new homes increased to $616,000 from $200,210 last year.
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.
Foreclosures and real estate owned (REO) closings continued to rise in July from a year earlier and remained a burden on the market. Foreclosures and REO closings, taken together, accounted for 25.9% of existing home closings, higher than 12.1% a year earlier. The percentage of existing home closings involving foreclosures rose to 13.6% in July from 5.8% a year earlier while REO closings as a percentage of existing home closings grew to 12.3% from 6.3%.