In the Orlando, FL market, new home closings jumped year-over-year in December, swinging up after a fall in November 2015. Closings climbed 2.5% from a year earlier to 902. This came on the heels of a 5.3% decline year-over-year in November.
A total of 8,176 new homes were sold during the 12 months that ended in December, up from 8,154 for the year that ended in November.
Out of all housing closings, new home closings made up 18.0%. This marks a rise from 15.9% of total closings a year earlier. Closings of new and existing homes declined year-over-year in December after also falling in November year-over-year.
Pricing and Mortgage Trends
In December, the average price of newly sold homes jumped year-over-year to $350,922 per unit, a 3.2% gain. This hike is smaller than the 4.7% surge in November year-over-year.
Along with new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. The average mortgage size rose to $280,570 in December, marking a 2.6% boost compared with a year earlier. In November 2015, average mortgage size gained 4.6% from a year earlier.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen. The share of new home closings belonging to attached units grew from 15.6% of closings in December 2014 to 17.4% of closings in December 2015. At the same time, the share belonging to single-family homes slid to 82.6% of closings from 84.4% of closings.
There was a 7.9% decline year-over-year in the average unit size of newly sold homes to 2,447 square feet in December 2015. This fall was opposite the price bump, a pattern also seen in November 2015 when the average size of newly sold homes dropped 3.8% to 2,425 square feet. In November, the average size of new homes sold went from 2,520 square feet a year earlier to 2,425 square feet.
Foreclosures and real estate owned (REO) closings fell in December from a year earlier, but stayed a drag on the market. Combined, foreclosures plus REO closings accounted for 29.7% of existing home closings, below 44.0% a year earlier. The percentage of existing home closings involving foreclosures fell to 11.8% in December from 20.4% a year earlier while REO closings as a percentage of existing home closings dropped to 17.9% from 23.5% a year earlier.