Closings of new homes sank year-over-year in June in the Cape Coral, FL market, curving down after an increase in May 2016. There was a 18.1% drop in new home closings from a year earlier. In comparison, new home closings in the same month last year saw a 8.2% hike year-over-year in May.
A total of 3,063 new homes were sold during the 12 months that ended in June, down from 3,112 for the year that ended in May.
New home closings made up 10.1% of overall housing closings. As a part of the whole, new home closings were 9.9% a year earlier. Following a year-over-year decline in May, closings of new and existing homes also sank year-over-year in June.
Pricing and Mortgage Trends
Average price of newly sold homes saw a 3.8% decline year-over-year in June to $360,341 per unit. This drop is a drop off from the 8.8% fall in May from a year earlier.
The average mortgage size on newly sold homes saw a drop year-over-year in contrast to new home prices. It slid to $255,351 in June, a 6.1% fall. In May 2016, average mortgage size on newly sold homes saw a 11.3% decline from a year earlier.
Other Market Trends
The percentage of new home closings belonging to single-family homes has risen from last year while the portion of new home closings belonging to attached units has dropped. Single-family home closings jumped from 69.4% of new closings in June 2015 to 71.6% of closings in June 2016. At the same time, the share of new home closings belonging to attached units slid to 28.4% of closings from 30.6% of closings.
There was a 6.4% fall year-over-year in the average unit size of newly sold homes to 1,990 square feet in June 2016. A decline was also seen in May 2016 when the average size of new homes sold fell 5.2% to 2,056 square feet. In May, the average size of new homes sold went from 2,168 square feet a year earlier to 2,056 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in June, but did not appear to be dragging the market. Combined, foreclosures plus REO closings made up 15.2% of existing home closings, below 23.5% a year earlier. The percentage of existing home closings involving foreclosures sank to 7.7% in June from 9.9% a year earlier while REO closings as a percentage of existing home closings dropped to 7.5% from 13.6% a year earlier.