In the Springfield, MA market in June, closings of new homes sank year-over-year, but the decline was less than the year-over-year decline in May. New home closings moved from 4 a year earlier to 1 after the figure moved from 5 in May 2015 to 1 in May 2016.
A total of 29 new homes were sold during the 12 months that ended in June, down from 32 for the year that ended in May.
New home closings were 1 out of the 979 total closings, a move on a percentage basis from 4 of 948 a year earlier. Following a year-over-year increase in May, closings of new and existing homes also jumped year-over-year in June.
Pricing and Mortgage Trends
The average per-unit price of new homes was $269,900, compared with $309,900 last year. This came after a 59.1% decline in May from a year earlier.
Average mortgage size on new homes went from $240,000 a year earlier to $256,405. Average mortgage size on new homes went from $180,000 in May 2015 to $95,000 in May 2016.
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 average unit size of newly sold homes fell from 2,126 square feet a year earlier to 1,342 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. Together, foreclosures plus REO closings accounted for 13.1% of existing home closings, down from 15.3% a year earlier. The percentage of existing home closings involving foreclosures dropped to 5.4% in June from 9.3% a year earlier while REO closings as a percentage of existing home closings rose to 7.7% from 5.9%.