New home closings in the Merced, CA market climbed year-over-year in April, but the increase was less than March 2016. New home closings moved from 10 a year earlier to 17 after the figure moved from 15 in March 2015 to 27 in March 2016.
A total of 265 new homes were sold during the 12 months that ended in April, up from 258 for the year that ended in March.
New home closings were 17 out of 195 total closings, making up 8.7%. This is up on a percentage basis from 10 of 166 a year earlier. Closings of new and existing homes climbed year-over-year in April after also rising in March year-over-year.
Pricing and Mortgage Trends
The average price of new homes rose to $294,506 from last year's $284,950. This was on the heels of a 1.7% decline in March from a year earlier.
Average mortgage size on new homes went from $255,618 a year earlier to $259,784. In March 2016, average mortgage size slid 9.8% from a year earlier.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in April 2016.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in April, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 20.2% of existing closings, lower than 20.5% a year earlier. The percentage of existing home closings involving foreclosures rose to 9.6% in April from 8.3% a year earlier while REO closings as a percentage of existing home closings fell to 10.7% from 12.2% a year earlier.