Closings of new homes in the Grand Forks, ND market fell year-over-year in May, and the decline was by a larger percentage than the April 2016. New home closings moved from 7 a year earlier to 4 after the figure moved from 7 in April 2015 to 5 in April 2016.

A total of 63 new homes were sold during the 12 months that ended in May, down from 66 for the year that ended in April.

New home closings were 4 out of the 153 total closings, down on a percentage basis from 7 of 133 a year earlier. After dropping in April from a year earlier, closings of new and existing homes rose year-over-year in May.

Pricing and Mortgage Trends

The average per-unit price of new homes was $297,550, compared with $447,080 last year. This followed a 5.3% boost in April year-over-year.

Average mortgage size on newly sold homes saw a decline year-over-year from $357,664 to $237,960. Average mortgage size on new homes went from $265,241 in April 2015 to $268,429 in April 2016.

Other Market Trends

As a share of new home closings, single-family home closings have risen from last year while the share belonging to attached units has fallen.

The average unit size of newly sold homes fell from 2,530 square feet a year earlier to 1,800 square feet.

Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in May, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, accounted for 2.7% of existing closings, lower than 4.0% a year earlier. The percentage of existing home closings involving foreclosures rose to 2.0% in May from 0.8% a year earlier while REO closings as a percentage of existing home closings fell to 0.7% from 3.2% a year earlier.

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