In the Stockton, CA market, new home closings gained year-over-year in May, but there were signs of market leveling as the percentage boost was less than April 2016. Closings increased 1.9% from a year earlier to 106. This followed a 38.6% jump year-over-year in April.
A total of 1,444 new homes were sold during the 12 months that ended in May, up from 1,442 for the year that ended in April.
Out of all housing closings, new home closings made up 12.0%. This is better than the 10.8% of closings a year earlier. Closings of new and existing homes slid year-over-year in May after also falling in April year-over-year.
Pricing and Mortgage Trends
Average price of newly sold homes saw a 5.9% hike year-over-year in May to $473,575 per unit. This hike is smaller than the 7.9% surge in April year-over-year.
For newly sold homes, average mortgage size moved from $373,259 in May 2015 to $376,459 in May 2016. In April 2016, average mortgage size rose 13.0% 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 climbed from no part of closings in May 2015 to 3.8% of closings in May 2016. Conversely, the share belonging to single-family homes slid to 96.2% of closings from all of closings.
The average unit size of newly sold homes declined 19.3% year-over-year to 2,221 square feet in May 2016. The average size of newly sold homes moved from 2,600 square feet in April 2015 to 2,585 square feet in April 2016.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in May, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, made up 15.8% of existing closings, lower than 17.1% a year earlier. The percentage of existing home closings involving foreclosures dropped to 5.9% in May from 7.5% a year earlier and REO closings moved from 9.6% of existing home closings in May 2015 to 9.9% in May 2016.