Closings of new homes in the Oklahoma City, OK market declined year-over-year in December, and the market seemed to be worsening in light of the percentage drop steeper than November 2015. There was a 38.1% drop in new home closings from a year earlier. This followed a 32.1% drop year-over-year in November.
A total of 3,390 new homes were sold during the 12 months that ended in December, down from 3,511 for the year that ended in November.
As a percentage of overall housing closings, new home closings made up 9.5%. This is a fall 14.3% of closings a year earlier. Following a year-over-year decline in November, closings of new and existing homes also declined year-over-year in December.
Pricing and Mortgage Trends
The average price of new homes was $263,573 per unit in December, up 7.9%from a year earlier. This lift is better than the 1.3% bump in November year-over-year.
There was a lift year-over-year in the average mortgage size on new homes along with new home prices. In December 2015, the average mortgage size was $225,497, up 5.9% from a year earlier. Average mortgage size increased 4.0% in November 2015 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 December 2015. Single-family home closings have represented all of new home closings while attached unit closings have accounted for no part of closings.
There was a 15.5% lift year-over-year in the average unit size of newly sold homes to 2,410 square feet in December 2015. The average size of newly sold homes moved from 2,085 square feet in November 2014 to 1,807 square feet in November 2015.
Foreclosures and real estate owned (REO) closings increased in December from a year earlier and did not look to be a burden on the market. Foreclosures and REO closings, taken together, represented 20.3% of existing home closings, up from 20.1% a year earlier. The percentage of existing home closings involving foreclosures rose to 11.6% in December from 10.0% a year earlier while REO closings as a percentage of existing home closings dropped to 8.8% from 10.1% a year earlier.