Closings of new homes in the Mobile, AL market gained year-over-year in March, swinging up off a relatively small change in February from the year earlier. New home closings saw a hike of 27.9% from a year earlier to 55. Closings were level in February from the year earlier.
A total of 372 new homes were sold during the 12 months that ended in March, up from 360 for the year that ended in February.
As a percentage of overall housing closings, new home closings made up 8.3%. This marks a rise from 6.4% of total closings a year earlier. Closings of new and existing homes sank year-over-year in March after also falling in February year-over-year.
Pricing and Mortgage Trends
In March, there was a 15.7% decline year-over-year in the average per-unit price of newly sold homes, settling at $200,656. This decline compares to a 1.2% surge in February year-over-year.
Average mortgage size on new homes declined year-over-year in contrast to new home prices. It sank 5.0% in March from a year earlier to $194,035. In February 2016, average mortgage size on newly sold homes saw a 6.9% drop from a year earlier.
Other Market Trends
As a percentage of new home closings, attached unit closings have grown from last year while single-family home closings have dropped. The share of new home closings belonging to attached units climbed from no part of closings in March 2015 to 1.8% of closings in March 2016. Conversely, the share belonging to single-family homes sank to 98.2% of closings from all of closings.
There was a 25.7% decline year-over-year in the average unit size of newly sold homes to 1,781 square feet in March 2016. The average size of newly sold homes moved from 2,157 square feet in February 2015 to 1,905 square feet in February 2016.
Foreclosures and real estate owned (REO) closings declined in March from a year earlier, but remained a drag on the market. Together, foreclosures plus REO closings accounted for 37.2% of existing home closings, down from 40.9% a year earlier. The percentage of existing home closings involving foreclosures fell to 18.8% in March from 20.5% a year earlier while REO closings as a percentage of existing home closings dropped to 18.3% from 20.3% a year earlier.