In the Greensboro, NC market in September, closings of new homes grew year-over-year, and the market seemed to be hinting at bolstering with a percentage bump stronger than August 2015. There was a 16.7% hike in new home closings from a year earlier. In comparison, new home closings in the same month last year saw a 5.3% jump year-over-year in August.
A total of 998 new homes were sold during the 12 months that ended in September, up from 986 for the year that ended in August.
As a percentage of total closings, new home closings accounted for 8.5%, unchanged from a year ago. Following a year-over-year increase in August, closings of new and existing homes also rose year-over-year in September.
Pricing and Mortgage Trends
The average price of newly sold homes grew year-over-year 1.3% in September to $229,985 per unit. This hike is smaller than the 3.3% lift in August year-over-year.
For newly sold homes, the average mortgage size gained year-over-year along with new home prices. It climbed to $210,563 in September, a 2.0% boost. In August 2015, average mortgage size on newly sold homes saw a 4.1% rise year-over-year from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. Single-family home closings jumped from three quarters of new closings in September 2014 to 78.6% of closings in September 2015. Conversely, the share of new home closings belonging to attached units declined to 21.4% of closings from a quarter of closings.
The average unit size of newly sold homes dropped 8.1% year-over-year to 2,245 square feet in September 2015. For newly sold homes, an average size fall contrasting with an average price boost was also seen in August 2015 when the average size of newly sold homes slid 11.1% to 2,425 square feet. The average size of newly sold homes moved from 2,727 square feet in August 2014 to 2,425 square feet in August 2015.
Foreclosures and real estate owned (REO) closings declined in September from a year earlier, but remained a drag on the market. Together, foreclosures plus REO closings represented 27.7% of existing home closings, down from 28.7% a year earlier. The percentage of existing home closings involving foreclosures went from 15.4% in September 2014 to 15.0% in September 2015 and REO closings moved from 13.2% of existing home closings in September 2014 to 12.8% in September 2015.