New home closings in the Florence, SC market sank year-over-year in May, and the decline was by a larger percentage than the April 2016. New home closings moved from 16 a year earlier to 3 after the figure moved from 10 in April 2015 to 6 in April 2016.

New home closings were 9.2% of total closings a year earlier, and this percentage saw a fall as new home closings this year made up 3 of the 66 total closings. Following a year-over-year decline in April, closings of new and existing homes also fell year-over-year in May.

Pricing and Mortgage Trends

The average new home price was $233,333, down from $243,034 a year earlier. This followed a 13.9% drop in April from a year earlier.

The average mortgage size on new homes was $252,836, up from $209,839. Average mortgage size on new homes went from $222,845 in April 2015 to $188,849 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.

The average unit size of newly sold homes rose from 1,762 square feet a year earlier to 1,904 square feet.

Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in May, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings represented 15.9% of closings, below 22.9% a year earlier. The percentage of existing home closings involving foreclosures slid to 4.8% in May from 10.8% a year earlier and REO closings moved from 12.1% of existing home closings in May 2015 to 11.1% in May 2016.

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