In July, there was a fall year-over-year in new home closings in the Holland, MI market, moving south after a surge in June 2015. New home closings saw a 15.2% decline from a year earlier to 28. In comparison, new home closings in the same month last year saw a 70.6% jump year-over-year in June.
A total of 303 new homes were sold during the 12 months that ended in July, down from 308 for the year that ended in June.
Out of all housing closings, new home closings made up 5.1%. This is a decline 6.3% of closings a year earlier. Closings of new and existing homes grew year-over-year in July after also rising in June year-over-year.
Pricing and Mortgage Trends
In July, the average price for new home closings was $244,734, a 1.3% decline from last year. This decline compares to a 20.5% gain in June year-over-year.
For newly sold homes, the average mortgage size declined year-over-year in contrast to average price of new homes. It slid 13.6% in July from a year earlier, reaching $204,842. In June 2015, average mortgage size on newly sold homes saw a 1.8% drop from a year earlier.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have grown from last year while closings of single-family homes have dipped. Attached unit closings climbed from 48.5% of all closings in July 2014 to 71.4% of closings in July 2015. Meanwhile, single-family home closings as a percentage of all new home closings fell to 28.6% of closings from 51.5% of closings.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in July, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings made up 8.7% of closings, below 12.7% a year earlier. The percentage of existing home closings involving foreclosures went from 4.9% in July 2014 to 4.6% in July 2015 and REO closings as a percentage of existing home closings dropped to 4.2% from 7.8% a year earlier.