In June, closings of new homes in the Harrisonburg, VA market climbed year-over-year, rebounding from a year-over-year decline in May 2016. New home closings moved from 4 a year earlier to 7 after the figure moved from 9 in May 2015 to 6 in May 2016.

A total of 95 new homes were sold during the 12 months that ended in June, up from 92 for the year that ended in May.

New home closings were 7 out of 217 total closings, making up 3.2%. This is up on a percentage basis from 4 of 193 a year earlier. Following a year-over-year increase in May, closings of new and existing homes also rose year-over-year in June.

Pricing and Mortgage Trends

The average price of new homes was $236,184, an increase from $169,475 a year earlier. This followed a 14.0% drop in May from a year earlier.

Average mortgage size on new homes increased to $210,608 from $141,609 last year. Average mortgage size on new homes went from $161,147 in May 2015 to $155,834 in May 2016.

Other Market Trends

As a share of new home closings, single-family home closings have risen from last year while the share belonging to attached units has fallen.

The average unit size of newly sold homes rose from 1,364 square feet a year earlier to 3,308 square feet.

Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in June, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 13.3% of closings, below 18.0% a year earlier. The percentage of existing home closings involving foreclosures sank to 7.1% in June from 12.2% a year earlier and REO closings moved from 5.8% of existing home closings in June 2015 to 6.2% in June 2016.

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