In the Lansing, MI market, closings of new homes declined year-over-year in June, but the decline was less than the year-over-year decline in May. New home closings moved from 17 a year earlier to 12 after the figure moved from 22 in May 2015 to 11 in May 2016.
A total of 106 new homes were sold during the 12 months that ended in June, down from 111 for the year that ended in May.
12 of the 822 total closings were new home closings, a shift on a percentage basis from 17 out of 821 a year earlier. Closings of new and existing homes remained steady in June after being unchanged in May from a year earlier.
Pricing and Mortgage Trends
The average price for new homes was $286,335, moving from $288,805 last year. This was on the heels of a 2.4% fall in May from a year earlier.
Average mortgage size on new homes increased to $277,260 from $261,231 last year. Average mortgage size on new homes went from $270,632 in May 2015 to $287,190 in May 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.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in June, but did not appear to be dragging the market. Together, foreclosures plus REO closings represented 18.8% of existing home closings, down from 23.0% a year earlier. The percentage of existing home closings involving foreclosures slid to 8.1% in June from 10.3% a year earlier while REO closings as a percentage of existing home closings declined to 10.6% from 12.7% a year earlier.