There was an increase in new home closings in the Bradenton, FL market in February year-over-year, and there were hints that the market may be gaining momentum as the percentage rise proved better than January 2016. There was a 8.0% boost in new home closings from a year earlier. This was after the housing market saw a 1.7% rise year-over-year in January.
A total of 3,882 new homes were sold during the 12 months that ended in February, up from 3,860 for the year that ended in January.
As a percentage of overall housing closings, new home closings represented 15.9%. This marks a rise from 12.8% of total closings a year earlier. For new and existing homes, closings fell in February after also declining in January year-over-year.
Pricing and Mortgage Trends
The average price of new homes was $339,208 per unit in February, up 4.5%from a year earlier. This lift is smaller than the 12.6% gain in January year-over-year.
In February 2016, average mortgage size on newly sold homes moved from $252,168 to $250,000 from February 2015. In January 2016, average mortgage size jumped 17.2% from a year earlier.
Other Market Trends
Single-family homes accounted for a greater percentage of new home closings than last year. The share of new home closings belonging to single-family homes increased from 70.3% in February 2015 to 77.5% of closings in February 2016. Conversely, the share of new home closings belonging to attached units fell to 22.5% of closings from 29.7% of closings.
The average unit size of newly sold homes gained 4.1% year-over-year to 2,295 square feet in February 2016. An increase in both the average size and price of newly sold homes was also seen in January 2016 when the average size grew 23.8% to 2,395 square feet. The average size of newly sold homes moved from 1,935 square feet in January 2015 to 2,395 square feet in January 2016.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in February, but did not look to be a burden on the market. Together, foreclosures plus REO closings accounted for 18.8% of existing home closings, down from 32.0% a year earlier. The percentage of existing home closings involving foreclosures dropped to 7.7% in February from 15.4% a year earlier while REO closings as a percentage of existing home closings slid to 11.1% from 16.6% a year earlier.