The Las Vegas, NV market saw a drop in new home closings year-over-year in July, moving south after a hike in June 2016. Closings slumped 31.2% from a year earlier to 416. This came after a 1.0% rise year-over-year in June.

A total of 6,701 new homes were sold during the 12 months that ended in July, down from 6,890 for the year that ended in June.

Of 3,239 total closings, 416 were of new homes. This is better than the 11.8% of closings a year earlier. Following a year-over-year decline in June, closings of new and existing homes also dropped year-over-year in July.

Pricing and Mortgage Trends

In July, there was a 2.4% surge year-over-year in the average price of newly sold homes, reaching $364,388 per unit. This surge follows a move from $360,532 per unit to $363,695 from June 2015 to June 2016.

For newly sold homes, average mortgage size moved from $300,165 in July 2015 to $299,469 in July 2016. In June 2016, average mortgage size on newly sold homes saw a 2.4% bump year-over-year 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 July 2016. Single-family home closings have accounted for 96.9% of new home closings while attached unit closings have represented 3.1% of closings.

For all new homes sold, the average unit size fell 4.8% year-over-year to 2,363 square feet in July 2016. The average size of newly sold homes moved from 2,481 square feet in June 2015 to 2,426 square feet in June 2016.

Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in July, but did not look to be a burden on the market. Combined, foreclosures plus REO closings accounted for 18.8% of existing home closings, below 25.2% a year earlier. The percentage of existing home closings involving foreclosures slid to 9.0% in July from 10.3% a year earlier while REO closings as a percentage of existing home closings dropped to 9.8% from 14.9% a year earlier.

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