In the Jackson, TN market in July, closings of new homes sank year-over-year, but the decline was less than the year-over-year decline in June. New home closings moved from 7 a year earlier to 4 after the figure moved from 6 in June 2014 to 1 in June 2015.
A total of 77 new homes were sold during the 12 months that ended in July, down from 80 for the year that ended in June.
New home closings were 4 out of the 162 total closings, down on a percentage basis from 7 of 178 a year earlier. Following a year-over-year increase in June, closings of new and existing homes dropped year-over-year in July.
Pricing and Mortgage Trends
The average new home price was $274,575, up from $202,886 a year earlier. This was on the heels of a 17.5% surge in June year-over-year.
Average mortgage size on new homes rose from $179,355 to $275,778. Average mortgage size went from $193,917 in June 2014 to $195,700 in June 2015.
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 2015.
Foreclosures and real estate owned (REO) closings increased in July from a year earlier and did not look to be a burden on the market. Combined, foreclosures plus REO closings accounted for 24.1% of existing home closings, above 21.6% a year earlier. The percentage of existing home closings involving foreclosures rose to 12.7% in July from 9.4% a year earlier and REO closings moved from 12.3% of existing home closings in July 2014 to 11.4% in July 2015.