Closings of new homes in the Chattanooga, TN market sank year-over-year in November, but the decline was less than the year-over-year decline in October. New home closings moved from 26 a year earlier to 10 after the figure moved from 34 in October 2014 to 6 in October 2015.
A total of 176 new homes were sold during the 12 months that ended in November, down from 192 for the year that ended in October.
New home closings represented 10 out of the 643 total closings, which is a smaller percentage than the 26 of 709 total closings a year earlier. For new and existing homes, closings slid in November after also declining in October year-over-year.
Pricing and Mortgage Trends
The average new home price was $266,112, down from $275,903 a year earlier. This was on the heels of a 27.7% fall in October from a year earlier.
There was a decline in average mortgage size on new homes, going from $242,677 last year to $184,937 in November 2015. Average mortgage size on new homes went from $255,851 in October 2014 to $192,740 in October 2015.
Other Market Trends
As a share of new home closings, single-family home closings have risen from last year while the share belonging to attached units has fallen.
The average unit size of newly sold homes rose from 1,635 square feet a year earlier to 2,733 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in November, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 24.6% of existing closings, lower than 28.6% a year earlier. The percentage of existing home closings involving foreclosures declined to 13.3% in November from 15.1% a year earlier while REO closings as a percentage of existing home closings sank to 11.4% from 13.5% a year earlier.