Closings of new homes increased year-over-year in June in the Appleton, WI market, but the increased on a percentage basis less sharlpy than May 2016, showing signs of market stabilization. Closings rose 26.7% from a year earlier to 19. This came on the heels of a 35.0% boost year-over-year in May.
A total of 228 new homes were sold during the 12 months that ended in June, up from 224 for the year that ended in May.
As a percentage of overall housing closings, new home closings represented 4.1%. This marks a rise from 3.1% of total closings a year earlier. Following a year-over-year rise in May, closings of new and existing homes fell year-over-year in June.
Pricing and Mortgage Trends
The average price of new homes gained year-over-year in June to $276,305 per unit, a rise of 11.6%. This surge is higher than the 8.9% boost in May year-over-year.
The average mortgage size on newly sold homes saw a lift year-over-year along with new home prices. In June 2016, the average mortgage size on newly sold homes saw a 18.2% boost from a year earlier. In May 2016, average mortgage size on newly sold homes saw a 8.2% rise year-over-year 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 gained from 6.7% of closings in June 2015 to 10.5% of closings in June 2016. At the same time, the share belonging to single-family homes dropped to 89.5% of closings from 93.3% of closings.
The average unit size of newly sold homes slid 40.7% year-over-year to 951 square feet in June 2016.
Foreclosures and real estate owned (REO) closings rose in June from a year earlier and did not look to be a burden on the market. Foreclosures and REO closings, taken together, made up 10.0% of existing home closings, higher than 9.8% a year earlier. The percentage of existing home closings involving foreclosures went from 4.3% in June 2015 to 5.0% in June 2016 and REO closings moved from 5.5% of existing home closings in June 2015 to 5.0% in June 2016.