In April, there was an increase in closings of new homes in the Vallejo, CA market year-over-year, and the percentage boost, which was better than March 2016, suggested the market may be improving. Closings increased 36.4% from a year earlier to 75. This followed a 33.9% hike year-over-year in March.
A total of 902 new homes were sold during the 12 months that ended in April, up from 882 for the year that ended in March.
As a percentage of overall housing closings, new home closings represented 12.6%. This is better than the 8.6% of closings a year earlier. Following a year-over-year increase in March, closings of new and existing homes dropped year-over-year in April.
Pricing and Mortgage Trends
The average per-unit price of newly sold homes increased year-over-year to $468,311 in April, up 6.6% from last year. This boost is smaller than the 7.0% hike in March year-over-year.
The average mortgage size on newly sold homes moved south year-over-year in contrast to new home prices. In April 2016, the average mortgage size on newly sold homes saw a 1.5% drop from a year earlier. Average mortgage size rose 3.9% in March 2016 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. The share of new home closings belonging to single-family homes grew from 96.4% in April 2015 to all of closings in April 2016. Meanwhile, attached units as a percentage of all new home closings sank to no part of closings from 3.6% of closings.
There was a 25.9% fall year-over-year in the average unit size of newly sold homes to 1,669 square feet in April 2016.
Foreclosures and real estate owned (REO) closings continued to fall 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 represented 14.3% of closings, below 17.3% a year earlier. The percentage of existing home closings involving foreclosures sank to 6.2% in April from 7.7% a year earlier while REO closings as a percentage of existing home closings slid to 8.1% from 9.6% a year earlier.