In the Visalia, CA market in May, new home closings climbed year-over-year, rallying back from a decline in April 2016. Closings gained 24.6% from a year earlier to 81. This followed a 21.7% fall year-over-year in April.
A total of 902 new homes were sold during the 12 months that ended in May, up from 886 for the year that ended in April.
As a percentage of overall housing closings, new home closings made up 14.6% of overall housing closings. New home closings were 14.9% of overall closings last year. Closings of new and existing homes rose in May after staying steady in April from a year earlier.
Pricing and Mortgage Trends
The average price of newly sold homes fell 1.8% year-over-year in May to $257,663 per unit. This decline is a drop off from the 4.9% drop in April from a year earlier.
The average mortgage size on newly sold homes saw a boost year-over-year in contrast to new home prices. It jumped to $234,353 in May, a 1.9% lift. In April 2016, average mortgage size sank 3.0% from a year earlier.
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. Single-family home closings have made up all of new home closings while attached unit closings have accounted for no part of closings.
There was a 5.2% hike year-over-year in the average unit size of newly sold homes to 1,888 square feet in May 2016. The average size of newly sold homes moved from 1,995 square feet in April 2015 to 1,516 square feet in April 2016.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in May, but did not look to be a burden on the market. Together, foreclosures plus REO closings represented 15.4% of existing home closings, down from 18.3% a year earlier. The percentage of existing home closings involving foreclosures sank to 4.6% in May from 7.3% a year earlier and REO closings moved from 11.1% of existing home closings in May 2015 to 10.7% in May 2016.