The Blacksburg, VA market saw an increase in closings of new homes in May year-over-year, rebounding from a year-over-year decline in April 2016. New home closings moved from 8 a year earlier to 10 after the figure moved from 12 in April 2015 to 5 in April 2016.
A total of 95 new homes were sold during the 12 months that ended in May, up from 93 for the year that ended in April.
New home closings were 10 out of 231 total closings, making up 4.3%. This is up on a percentage basis from 8 of 264 a year earlier. Following a period of little movement in April from a year earlier, closings of new and existing homes dropped year-over-year in May.
Pricing and Mortgage Trends
The average new home value went from $309,053 last year to $335,938. This came after a 41.5% bump in April year-over-year.
Average mortgage size on new homes rose from $246,379 to $255,060. Average mortgage size on new homes went from $192,036 in April 2015 to $353,200 in April 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 May 2016.
Foreclosures and real estate owned (REO) closings rose in May from a year earlier and did not look to be a burden on the market. Combined, foreclosures plus REO closings represented 15.4% of existing home closings, above 14.1% a year earlier. The percentage of existing home closings involving foreclosures went from 9.4% in May 2015 to 9.0% in May 2016 and REO closings as a percentage of existing home closings gained to 6.3% from 4.7%.
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