In August, closings of new homes in the Las Vegas, NV market grew year-over-year, and the percentage bump that was sharper than July 2015 seems to indicate improving market conditions. New home closings saw a 20.5% boost from a year earlier to 577. This was after the housing market saw a 5.7% climb year-over-year in July.
A total of 6,416 new homes were sold during the 12 months that ended in August, up from 6,318 for the year that ended in July.
Of 4,749 total closings, 577 were of new homes. This is better than the 10.8% of closings a year earlier. For new and existing homes, closings climbed year-over-year in August after also increasing in July year-over-year.
Pricing and Mortgage Trends
In August, the average price of newly sold homes increased year-over-year to $342,105 per unit, a 8.5% rise. This bump is better than the 5.3% boost in July year-over-year.
There was a gain year-over-year in the average mortgage size on new homes along with new home prices. In August 2015, there was a 7.7% hike in the average mortgage size, reaching $283,529. Average mortgage size grew 10.0% in July 2015 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 jumped from 4.2% of closings in August 2014 to 5.9% of closings in August 2015. Conversely, the share belonging to single-family homes slid to 94.1% of closings from 95.8% of closings.
There was a 5.6% decline year-over-year in the average unit size of newly sold homes to 2,228 square feet in August 2015. In July, the average size of new homes sold went from 2,423 square feet a year earlier to 2,526 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in August, but did not appear to be dragging the market. Together, foreclosures plus REO closings made up 24.7% of existing home closings, down from 26.0% a year earlier. The percentage of existing home closings involving foreclosures went from 12.8% in August 2014 to 12.1% in August 2015 and REO closings moved from 13.2% of existing home closings in August 2014 to 12.6% in August 2015.