New home closings slid year-over-year in January in the Pensacola, FL market, and the percentage drop, which was steeper than December 2015, gave suggestions that the market may be worsening. Closings fell 71.2% from a year earlier to 17. This followed a 60.8% fall year-over-year in December.
A total of 933 new homes were sold during the 12 months that ended in January, down from 975 for the year that ended in December.
Out of all housing closings, new home closings made up 2.8%. This is down from the 7.6% of closings a year earlier. Closings of new and existing homes dropped year-over-year in January after also falling in December year-over-year.
Pricing and Mortgage Trends
For newly sold homes, the average price fell 9.0% year-over-year in January to $206,818 per unit. This decline is a drop off from the 20.0% fall in December from a year earlier.
In January 2016, average mortgage size on new homes went from $206,780 in January 2015 to $208,650 in January 2016. In December 2015, average mortgage size declined 14.4% 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 January 2016. Single-family home closings have accounted for all of new home closings while attached unit closings have made up no part of closings.
There was a 1.6% hike year-over-year in the average unit size of newly sold homes to 2,247 square feet in January 2016. In December, the average size of new homes sold went from 2,305 square feet a year earlier to 1,680 square feet.
Foreclosures and real estate owned (REO) closings declined in January from a year earlier, but remained a burden on the market. Combined, foreclosures plus REO closings made up 41.8% of existing home closings, below 55.6% a year earlier. The percentage of existing home closings involving foreclosures dropped to 22.2% in January from 31.0% a year earlier while REO closings as a percentage of existing home closings fell to 19.6% from 24.6% a year earlier.