New home closings gained year-over-year in August in the Albuquerque, NM market, recovering from a decline in July 2015. New home closings saw a rise of 28.7% from the year earlier to 121. This came on the heels of a 22.6% decline year-over-year in July.
A total of 1,260 new homes were sold during the 12 months that ended in August, up from 1,233 for the year that ended in July.
Of 1,617 total closings, 121 were of new homes. This marks a rise from 6.4% of total closings a year earlier. For new and existing homes, closings jumped year-over-year in August after also increasing in July year-over-year.
Pricing and Mortgage Trends
The average price of new homes was $248,541 per unit in August, up 6.0%from a year earlier. This bump follows a move from $240,793 per unit in July 2014 to $241,450 in July 2015.
For newly sold homes, the average mortgage size gained year-over-year along with new home prices. In August 2015, average mortgage size jumped 6.6% from a year earlier to $221,106. It went from $213,297 to $211,881 from July 2014 to July 2015.
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 rose from 93.6% of new closings in August 2014 to 97.5% of closings in August 2015. At the same time, the share of new home closings belonging to attached units dropped to 2.5% of closings from 6.4% of closings.
For all new homes sold, the average unit size increased 15.3% year-over-year to 2,439 square feet in August 2015. The average size of newly sold homes moved from 2,100 square feet in July 2014 to 2,136 square feet in July 2015.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in August, but did not look to be a burden on the market. Combined, foreclosures plus REO closings represented 17.0% of existing home closings, below 25.5% a year earlier. The percentage of existing home closings involving foreclosures declined to 7.4% in August from 11.5% a year earlier while REO closings as a percentage of existing home closings sank to 9.6% from 14.0% a year earlier.