In the Atlanta, GA market in October, closings of new homes gained year-over-year, but the market seemed to show signs of leveling out as the percentage grew was less than in September 2015. New home closings saw a hike of 5.0% from the year earlier to 1,134. This came after a 33.8% climb year-over-year in September.
A total of 14,535 new homes were sold during the 12 months that ended in October, up from 14,481 for the year that ended in September.
New home closings made up 11.4% of overall housing closings. They accounted for 10.9% of closings a year earlier. After new and existing closings climbed in September year-over-year, they stayed level in October.
Pricing and Mortgage Trends
In October, the average price of newly sold homes jumped 10.6% year-over-year to $338,614 per unit. This surge is an improvement over the 5.1% lift in September year-over-year.
For newly sold homes, the average mortgage size saw a rise year-over-year along with new home prices. In October 2015, the average mortgage size on newly sold homes saw a 10.2% rise from a year earlier. In September 2015, average mortgage size increased 2.9% from a year earlier.
Other Market Trends
The percentage of new home closings belonging to single-family homes has risen from last year while the portion of new home closings belonging to attached units has dropped. Single-family home closings jumped from 82.8% of new closings in October 2014 to 85.8% of closings in October 2015. Meanwhile, attached units as a percentage of all new home closings declined to 14.2% of closings from 17.2% of closings.
There was a 2.8% lift year-over-year in the average unit size of newly sold homes to 3,009 square feet in October 2015. The average size of newly sold homes moved from 3,080 square feet in September 2014 to 2,959 square feet in September 2015.
Foreclosures and real estate owned (REO) closings fell in October from a year earlier, but remained a burden on the market. Foreclosures and REO closings, taken together, accounted for 25.7% of existing closings, lower than 32.7% a year earlier. The percentage of existing home closings involving foreclosures slid to 13.2% in October from 18.4% a year earlier while REO closings as a percentage of existing home closings sank to 12.5% from 14.3% a year earlier.