New home closings sank year-over-year in August in the Lafayette, IN market, and the decline was by a larger percentage than the July 2015. New home closings moved from 28 a year earlier to 2 after the figure moved from 37 in July 2014 to 10 in July 2015.
A total of 209 new homes were sold during the 12 months that ended in August, down from 235 for the year that ended in July.
Last year, 28 of 349 total closings were new homes, and this percentage saw a decline as new home closings this year made up 2 of the 291 total closings. For new and existing homes, closings dropped in August after also declining in July year-over-year.
Pricing and Mortgage Trends
The average new home value went from $240,676 last year to $311,401. This followed a 9.1% drop in July from a year earlier.
Average mortgage size on new homes increased to $249,121 from $195,136 last year. Average mortgage size on new homes went from $179,366 in July 2014 to $153,888 in July 2015.
Other Market Trends
As a share of new home closings, single-family home closings have risen from last year while the share belonging to attached units has fallen.
The average unit size of newly sold homes rose from 1,620 square feet a year earlier to 2,325 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in August, but did not look to be a burden on the market. Together, foreclosures plus REO closings made up 6.9% of existing home closings, down from 16.5% a year earlier. The percentage of existing home closings involving foreclosures declined to 3.5% in August from 8.7% a year earlier while REO closings as a percentage of existing home closings sank to 3.5% from 7.8% a year earlier.