Closings of new homes sank year-over-year in June in the Topeka, KS market, and the decline was by a larger percentage than the May 2016. New home closings moved from 6 a year earlier to 1 after the figure moved from 7 in May 2015 to 5 in May 2016.
New home closings were 1.4% of total closings a year earlier, and this percentage saw a fall as new home closings this year made up 1 of the 446 total closings. For new and existing homes, closings climbed year-over-year in June after also increasing in May year-over-year.
Pricing and Mortgage Trends
The average per-unit price of new homes was $174,122, compared with $263,626 last year. This was on the heels of a 24.3% drop in May from a year earlier.
Average mortgage size on new homes fell from $224,087 to $177,676. Average mortgage size on new homes went from $231,907 in May 2015 to $190,027 in May 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 June 2016.
The average unit size of newly sold homes fell from 2,551 square feet a year earlier to 1,807 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in June, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings represented 9.9% of closings, below 13.3% a year earlier. The percentage of existing home closings involving foreclosures fell to 3.8% in June from 7.2% a year earlier while REO closings as a percentage of existing home closings stayed level at 6.1%.