There was an increase in new home closings in the Prescott, AZ market in September year-over-year, shifting up after a drop in August 2015. New home closings saw a 10.8% jump from a year earlier to 41. This was after the housing market saw a 24.3% fall year-over-year in August.
A total of 339 new homes were sold during the 12 months that ended in September, up from 335 for the year that ended in August.
Out of all housing closings, new home closings accounted for 9.1%. A year ago, 8.6% of total closings were new home closings. Closings of new and existing homes gained year-over-year in September after also rising in August year-over-year.
Pricing and Mortgage Trends
The average value for new homes sold in September 2015 was $275,907, a move from $274,215 a year earlier. This was on the heels of a 4.5% rise in August year-over-year.
For newly sold homes, the average mortgage size climbed year-over-year along with new home prices. In September 2015, the average mortgage size on newly sold homes saw a 13.1% lift from a year earlier. In August 2015, average mortgage size on newly sold homes saw a 2.5% surge year-over-year from a year earlier.
Other Market Trends
There has not been much movement in the composition of the market with regard of the types of properties sold. From a year ago, single-family home closings have moved from 94.6% of new home closings to 95.1% of closings while attached units have gone from 5.4% of closings to 4.9% of closings.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in September, but did not look to be a burden on the market. Combined, foreclosures plus REO closings represented 10.2% of existing home closings, below 15.6% a year earlier. The percentage of existing home closings involving foreclosures sank to 4.4% in September from 5.6% a year earlier while REO closings as a percentage of existing home closings declined to 5.8% from 9.9% a year earlier.