The Naples, FL market saw an increase in closings of new homes in April year-over-year, but the percentage lift was less than March 2016, suggesting the market may be leveling. There was a 5.7% hike in new home closings from a year earlier. This followed a 32.0% boost year-over-year in March.
A total of 2,705 new homes were sold during the 12 months that ended in April, up from 2,695 for the year that ended in March.
Out of all housing closings, new home closings accounted for 13.0%. This is an increase on a percentage basis, as new home closings were 9.3% of total closings a year ago. Following a year-over-year decline in March, closings of new and existing homes also fell year-over-year in April.
Pricing and Mortgage Trends
The average per-unit price of newly sold homes jumped year-over-year to $594,590 in April, up 9.4% from last year. This hike is an improvement over the 2.9% lift in March year-over-year.
Average mortgage size on new homes dropped year-over-year in contrast to new home prices. It dropped to $331,708 in April, a 3.7% drop. Average mortgage size rose 2.8% in March 2016 from a year earlier.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen. Attached unit closings grew from 16.6% of all closings in April 2015 to 32.4% of closings in April 2016. At the same time, the share belonging to single-family homes dropped to 67.6% of closings from 83.4% of closings.
There was a move in the average unit size of newly sold homes from 2,282 square feet in April 2015 to 2,291 square feet in April 2016. In March, the average size of new homes sold went from 2,327 square feet a year earlier to 2,153 square feet. In March 2016, the average size of newly sold homes slid 7.5% from the year earlier.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in April, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 9.8% of closings, below 15.2% a year earlier. The percentage of existing home closings involving foreclosures declined to 3.9% in April from 6.8% a year earlier while REO closings as a percentage of existing home closings dropped to 6.0% from 8.4% a year earlier.