In the Jackson, TN market, closings of new homes increased year-over-year in June, but the increase was less than May 2016. New home closings moved from 4 a year earlier to 8 after the figure moved from 3 in May 2015 to 7 in May 2016.
A total of 62 new homes were sold during the 12 months that ended in June, up from 58 for the year that ended in May.
New home closings were 8 out of 186 total closings, making up 4.3%. This is up on a percentage basis from 4 of 183 a year earlier. Closings of new and existing homes jumped year-over-year in June after also rising in May year-over-year.
Pricing and Mortgage Trends
The average price of new homes was $207,472, an increase from $129,500 a year earlier. This followed a 18.0% fall in May from a year earlier.
From the year-ago figure of $144,624, the average mortgage size on new homes moved up to $191,933. Average mortgage size on new homes went from $182,913 in May 2015 to $177,133 in May 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in June 2016.
The average unit size of newly sold homes rose from 1,754 square feet a year earlier to 2,203 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in June, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 20.2% of existing closings, lower than 25.7% a year earlier. The percentage of existing home closings involving foreclosures slid to 5.6% in June from 14.5% a year earlier while REO closings as a percentage of existing home closings jumped to 14.6% from 11.2%.