There was an increase in new home closings in the Fort Worth, TX market in December year-over-year, and with a more robust boost than November 2015, there are suggestions the market may be strengthening. Closings climbed 13.6% from a year earlier to 2,413. This came after a 6.6% jump year-over-year in November.
A total of 22,443 new homes were sold during the 12 months that ended in December, up from 22,155 for the year that ended in November.
New home closings accounted for 18.9% of overall housing closings. This is a rise from 17.5% of closings a year earlier. Following a year-over-year increase in November, closings of new and existing homes also increased year-over-year in December.
Pricing and Mortgage Trends
In December, the average price of newly sold homes climbed 6.9% year-over-year to $352,957 per unit. This boost is smaller than the 9.2% lift in November year-over-year.
The average mortgage size on new homes moved north year-over-year along with new home prices. In December 2015, there was a 7.7% boost in the average mortgage size, reaching $301,820. Average mortgage size rose 10.6% in November 2015 from a year earlier.
Other Market Trends
There has not been much movement in the composition of the market with regard of the types of properties sold. From a year ago, single-family home closings have moved from 95.5% of new home closings to 96.3% of closings while attached units have gone from 4.5% of closings to 3.7% of closings.
The average unit size of newly sold homes gained 5.8% year-over-year to 3,141 square feet in December 2015. An increase was also seen in November 2015 when the average size of new homes sold jumped 9.4% to 3,110 square feet. In November, the average size of new homes sold went from 2,843 square feet a year earlier to 3,110 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in December, but did not look to be a burden on the market. Together, foreclosures plus REO closings made up 13.3% of existing home closings, down from 16.6% a year earlier. The percentage of existing home closings involving foreclosures sank to 7.0% in December from 8.5% a year earlier while REO closings as a percentage of existing home closings fell to 6.3% from 8.1% a year earlier.