There was a rise in closings of new homes in the Winston-Salem, NC market in September year-over-year, but the percentage hike was less than August 2015, suggesting the market may be leveling. Closings rose 8.7% from a year earlier to 75. This followed a 48.3% boost year-over-year in August.
A total of 796 new homes were sold during the 12 months that ended in September, up from 790 for the year that ended in August.
Out of all housing closings, new home closings represented 11.7%. This is a gain from 9.9% of closings a year earlier. Following a year-over-year rise in August, closings of new and existing homes slid year-over-year in September.
Pricing and Mortgage Trends
In September, there was a 7.6% fall year-over-year in the average per-unit price of newly sold homes, settling at $184,727. This decline is a drop off from the 21.2% fall in August from a year earlier.
The average mortgage size on newly sold homes slid year-over-year in contrast to the average price of new homes. The average mortgage size declined to $157,292 in September, marking a 4.7% fall compared with last year. In August 2015, average mortgage size fell 19.6% from a year earlier.
Other Market Trends
Closings of attached units, as a percentage of new home closings, have gained from last year while closings of single-family homes have fallen. The share of new home closings belonging to attached units climbed from 15.9% of closings in September 2014 to 18.7% of closings in September 2015. Meanwhile, single-family home closings as a percentage of all new home closings declined to 81.3% of closings from 84.1% of closings.
For all new homes sold, the average unit size grew 3.9% year-over-year to 1,824 square feet in September 2015. In August, the average size of new homes sold went from 2,190 square feet a year earlier to 2,458 square feet. For newly sold homes, an average size surge contrasting with an average price decline was also seen in August 2015 when the average size of newly sold homes dropped 12.2% to 2,458 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in September, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 24.6% of existing closings, lower than 31.6% a year earlier. The percentage of existing home closings involving foreclosures sank to 11.9% in September from 17.5% a year earlier while REO closings as a percentage of existing home closings fell to 12.8% from 14.1% a year earlier.