There was an increase in closings of new homes in the Trenton, NJ market in February year-over-year, and the increase was greater than January 2016. New home closings moved from 9 a year earlier to 22 after the figure moved from 4 in January 2015 to 5 in January 2016.
A total of 139 new homes were sold during the 12 months that ended in February, up from 126 for the year that ended in January.
New home closings were 22 of the 331 total closings, up on a percentage basis from 9 of 254 a year earlier. Closings of new and existing homes grew year-over-year in February after also rising in January year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes in February 2016 was $371,382, down from last year's $541,239. This followed a 40.6% drop in January from a year earlier.
Average mortgage size on newly sold homes saw a decline year-over-year from $358,409 to $324,557. Average mortgage size on new homes went from $396,183 in January 2015 to $249,217 in January 2016.
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 average unit size of newly sold homes fell from 2,650 square feet a year earlier to 1,663 square feet.
Foreclosures and real estate owned (REO) closings continued to rise in February from a year earlier and remained a drag on the market. Foreclosures and REO closings, taken together, made up 45.0% of existing home closings, higher than 31.8% a year earlier. The percentage of existing home closings involving foreclosures rose to 25.6% in February from 20.8% a year earlier while REO closings as a percentage of existing home closings increased to 19.4% from 11.0%.