New home closings sank year-over-year in July in the Harrisonburg, VA market, and the decline was by a larger percentage than the June 2015. New home closings moved from 8 a year earlier to 4 after the figure moved from 4 in June 2014 to 3 in June 2015.

A total of 70 new homes were sold during the 12 months that ended in July, down from 74 for the year that ended in June.

New home closings were 4 out of the 214 total closings, down on a percentage basis from 8 of 172 a year earlier. For new and existing homes, closings increased year-over-year in July after also increasing in June year-over-year.

Pricing and Mortgage Trends

The average value of newly sold homes in July 2015 was $222,768, down from last year's $238,183. This followed a 28.5% fall in June from a year earlier.

Average mortgage size on new homes fell from $224,446 to $189,478. Average mortgage size on new homes went from $181,500 in June 2014 to $116,807 in June 2015.

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 fell from 2,629 square feet a year earlier to 2,320 square feet.

Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in July, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 10.5% of existing closings, lower than 11.0% a year earlier. The percentage of existing home closings involving foreclosures rose to 8.1% in July from 5.5% a year earlier while REO closings as a percentage of existing home closings declined to 2.4% from 5.5% a year earlier.

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