New home closings in the Jackson, TN market gained year-over-year in May, rebounding from a year-over-year decline in April 2016. New home closings moved from 3 a year earlier to 5 after the figure moved from 5 in April 2015 to 3 in April 2016.
A total of 47 new homes were sold during the 12 months that ended in May, up from 45 for the year that ended in April.
5 of the 191 total closings were new home closings, a shift on a percentage basis from 3 out of 165 a year earlier. Closings of new and existing homes climbed year-over-year in May following a drop in April year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes in May 2016 was $217,110, down from last year's $241,233. This came after a 48.5% rise in April year-over-year.
Average mortgage size on new homes increased to $189,224 from $182,913 last year. Average mortgage size on new homes went from $226,041 in April 2015 to $316,053 in April 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 May 2016.
The average unit size of newly sold homes fell from 2,519 square feet a year earlier to 2,067 square feet.
Foreclosures and real estate owned (REO) closings continued to rise in May from a year earlier and stayed a drag on the market. Together, foreclosures plus REO closings accounted for 29.6% of existing home closings, up from 29.0% a year earlier. The percentage of existing home closings involving foreclosures sank to 12.4% in May from 15.4% a year earlier while REO closings as a percentage of existing home closings rose to 17.2% from 13.6%.