In May, there was a decline year-over-year in new home closings in the Atlantic City, NJ market, and the decline was by a larger percentage than the April 2016. New home closings moved from 19 a year earlier to 3 after the figure moved from 15 in April 2015 to 6 in April 2016.
A total of 112 new homes were sold during the 12 months that ended in May, down from 128 for the year that ended in April.
New home closings were 3 of the 55 total closings, up on a percentage basis from 19 of 462 a year earlier. Closings of new and existing homes fell year-over-year in May after also falling in April year-over-year.
Pricing and Mortgage Trends
The average price of new homes rose to $442,844 from last year's $296,462. This came after a 40.5% drop in April from a year earlier.
Average mortgage size on new homes went from $225,714 a year earlier to $452,229. Average mortgage size on new homes went from $310,595 in April 2015 to $316,690 in April 2016.
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 fell from 2,198 square feet a year earlier to 988 square feet.
Foreclosures and real estate owned (REO) closings continued to increase in May from a year earlier and remained a burden on the market. Foreclosures and REO closings, taken together, made up 48.1% of existing home closings, up from 36.6% a year earlier. The percentage of existing home closings involving foreclosures rose to 34.6% in May from 23.9% a year earlier and REO closings moved from 12.6% of existing home closings in May 2015 to 13.5% in May 2016.