New home closings in the Bismarck, ND market sank year-over-year in April, and the decline was by a larger percentage than the March 2016. New home closings moved from 29 a year earlier to 10 after the figure moved from 20 in March 2015 to 10 in March 2016.
A total of 204 new homes were sold during the 12 months that ended in April, down from 223 for the year that ended in March.
New home closings were 10 out of the 180 total closings, down on a percentage basis from 29 of 171 a year earlier. After dropping in March from a year earlier, closings of new and existing homes increased year-over-year in April.
Pricing and Mortgage Trends
The average value of newly sold homes in April 2016 was $281,308, down from last year's $302,757. This followed a 38.7% gain in March year-over-year.
The average mortgage size on new homes was $258,236, up from $250,428. Average mortgage size on new homes went from $243,092 in March 2015 to $268,663 in March 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in April 2016.
Foreclosures and real estate owned (REO) closings rose in April from a year earlier and did not appear to be dragging the market. Combined, foreclosures plus REO closings represented 2.4% of existing home closings, above 2.1% a year earlier. The percentage of existing home closings involving foreclosures went from 0.7% in April 2015 to 1.2% in April 2016 and REO closings moved from 1.4% of existing home closings in April 2015 to 1.2% in April 2016.