The Naples, FL market saw an increase in closings of new homes in July year-over-year, but the percentage rise was not as steep as June 2015, giving signals of market leveling out. Closings increased 5.0% from a year earlier to 169. This was after the housing market saw a 10.6% hike year-over-year in June.
A total of 1,985 new homes were sold during the 12 months that ended in July, up from 1,977 for the year that ended in June.
New home closings made up 12.8% of overall housing closings. New home closings were 12.1% of overall closings last year. Closings of new and existing homes remained steady in July after rising in June year-over-year.
Pricing and Mortgage Trends
The average per-unit price of newly sold homes climbed year-over-year to $587,216 in July, up 5.7% from last year. This rise is an improvement over the 5.3% boost in June year-over-year.
The average mortgage size on newly sold homes climbed year-over-year along with the average price of new homes. The average mortgage size rose to $376,357 in July, marking a 11.6% gain compared with a year earlier. Average mortgage size jumped 15.6% in June 2015 from a year earlier.
Other Market Trends
Single-family homes accounted for a greater percentage of new home closings than last year. Single-family home closings rose from 82.6% of new closings in July 2014 to 87.6% of closings in July 2015. Conversely, the share of new home closings belonging to attached units sank to 12.4% of closings from 17.4% of closings.
For all new homes sold, the average unit size grew 15.0% year-over-year to 2,632 square feet in July 2015. In June, the average size of new homes sold went from 2,210 square feet a year earlier to 2,187 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in July, but did not appear to be dragging the market. Together, foreclosures plus REO closings represented 15.7% of existing home closings, down from 27.5% a year earlier. The percentage of existing home closings involving foreclosures fell to 6.5% in July from 14.2% a year earlier while REO closings as a percentage of existing home closings slid to 9.2% from 13.3% a year earlier.