In May, there was an increase in closings of new homes in the Deltona, FL market year-over-year, and there were hints of strengthening market conditions as the percentage lift was an greater than April 2016. Closings increased 54.8% from a year earlier to 113. This was after the housing market saw a 1.3% rise year-over-year in April.
A total of 1,066 new homes were sold during the 12 months that ended in May, up from 1,026 for the year that ended in April.
Out of all housing closings, new home closings made up 8.0%. This marks a rise from 5.1% of total closings a year earlier. Following a year-over-year decline in April, closings of new and existing homes also fell year-over-year in May.
Pricing and Mortgage Trends
Average price of newly sold homes had a 6.5% surge year-over-year to $251,361 per unit in May. This lift is higher than the 4.5% bump in April year-over-year.
For newly sold homes, the average mortgage size increased year-over-year along with new home prices. In May 2016, the average mortgage size on newly sold homes saw a 10.0% rise from a year earlier. In April 2016, average mortgage size slid 4.1% 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 jumped from 90.4% in May 2015 to 92.0% of closings in May 2016. At the same time, the share of new home closings belonging to attached units fell to 8.0% of closings from 9.6% of closings.
There was a 7.4% lift year-over-year in the average unit size of newly sold homes to 2,390 square feet in May 2016. The average size of newly sold homes moved from 2,168 square feet in April 2015 to 2,052 square feet in April 2016.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in May, but did not appear to be dragging the market. Combined, foreclosures plus REO closings represented 23.7% of existing home closings, below 39.9% a year earlier. The percentage of existing home closings involving foreclosures sank to 11.7% in May from 20.5% a year earlier while REO closings as a percentage of existing home closings fell to 12.0% from 19.4% a year earlier.