The New York, NY market saw a drop in new home closings year-over-year in April, and the market seemed to be worsening in light of the percentage drop steeper than March 2016. New home closings saw a 42.3% drop from a year earlier to 303. This was after the housing market saw a 31.6% fall year-over-year in March.
A total of 5,467 new homes were sold during the 12 months that ended in April, down from 5,689 for the year that ended in March.
New home closings made up 2.9% of overall housing closings. This is down from the 4.5% of closings a year earlier. Following a year-over-year rise in March, closings of new and existing homes dropped year-over-year in April.
Pricing and Mortgage Trends
Average price of newly sold homes had a 13.5% decline year-over-year to $705,806 per unit in April. This drop is a drop off from the 22.2% fall in March from a year earlier.
The average mortgage size on newly sold homes moved south year-over-year in contrast to new home prices. It sank 4.9% in April from a year earlier to $465,614. In March 2016, average mortgage size dropped 17.3% from a year earlier.
Other Market Trends
As a percentage of new home closings, attached unit closings have climbed from last year while single-family home closings have dropped. Attached unit closings rose from 54.9% of all closings in April 2015 to 56.1% of closings in April 2016. Meanwhile, single-family home closings as a percentage of all new home closings dropped to 43.9% of closings from 45.1% of closings.
For all new homes sold, the average unit size fell 30.0% year-over-year to 1,772 square feet in April 2016. In March, the average size of new homes sold went from 2,675 square feet a year earlier to 1,911 square feet. A drop was also seen in March 2016 when the average size of new homes sold sank 28.6% to 1,911 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in April, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings made up 18.4% of closings, below 19.9% a year earlier. The percentage of existing home closings involving foreclosures slid to 9.2% in April from 11.8% a year earlier while REO closings as a percentage of existing home closings increased to 9.2% from 8.1%.