There was an increase in closings of new homes in the Gainesville, FL market in June year-over-year, but the market seemed to show signs of stabilizing as the percentage climbed was less than in May 2016. Closings climbed 7.3% from a year earlier to 44. This came after a 36.4% climb year-over-year in May.
A total of 429 new homes were sold during the 12 months that ended in June, up from 426 for the year that ended in May.
Out of all housing closings, new home closings represented 8.2%. They accounted for 7.4% of closings a year earlier. For new and existing homes, closings declined in June after also declining in May year-over-year.
Pricing and Mortgage Trends
The average per-unit value of new homes dropped year-over-year to $228,196 in June, a drop of 10.8% from a year earlier. This drop is a drop off from the 21.3% decline in May from a year earlier.
For newly sold homes, the average mortgage size sank year-over-year in contrast to average price of new homes. In June 2016, average mortgage size sank 14.1% from a year earlier to $210,351. In May 2016, average mortgage size on newly sold homes saw a 29.0% decline from a year earlier.
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 share of new home closings belonging to attached units rose from 4.9% of closings in June 2015 to a quarter of closings in June 2016. At the same time, the share belonging to single-family homes fell to three quarters of closings from 95.1% of closings.
The average unit size of newly sold homes fell 21.4% year-over-year to 1,516 square feet in June 2016. A decrease in both the average size and price of newly sold homes was also seen in May 2016 when the average size gained 12.9% to 1,724 square feet. The average size of newly sold homes moved from 1,980 square feet in May 2015 to 1,724 square feet in May 2016.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in June, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 11.4% of closings, below 21.9% a year earlier. The percentage of existing home closings involving foreclosures dropped to 5.1% in June from 7.4% a year earlier while REO closings as a percentage of existing home closings declined to 6.3% from 14.5% a year earlier.