New home closings sank year-over-year in June in the Fort Collins, CO market, shifting downward off a gain in May 2016. New home closings saw a decline of 4.4% from the year earlier to 129. In comparison, new home closings in the same month last year saw a 26.2% hike year-over-year in May.
A total of 1,481 new homes were sold during the 12 months that ended in June, down from 1,487 for the year that ended in May.
As a percentage of overall housing closings, new home closings accounted for 16.7%. This is an increase on a percentage basis, as new home closings were 14.2% of total closings a year ago. After rising year-over-year in May, closings of new and existing homes declined year-over-year in June.
Pricing and Mortgage Trends
The average per-unit price of newly sold homes rose year-over-year to $437,111 in June, up 5.9% from last year. This surge is smaller than the 8.7% lift in May year-over-year.
The average mortgage size on new homes moved north year-over-year along with new home prices. It climbed 1.7% in June from a year earlier to $326,103. In May 2016, average mortgage size jumped 6.5% from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. Single-family home closings grew from 88.1% of new closings in June 2015 to 90.7% of closings in June 2016. Conversely, the share of new home closings belonging to attached units slid to 9.3% of closings from 11.9% of closings.
For all new homes sold, the average unit size slid 23.1% year-over-year to 2,008 square feet in June 2016. In May, the average size of new homes sold went from 2,412 square feet a year earlier to 2,682 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in June, but did not look to be a burden on the market. Combined, foreclosures plus REO closings made up 2.2% of existing home closings, below 2.9% a year earlier. The percentage of existing home closings involving foreclosures went from 0.7% in June 2015 to 0.5% in June 2016 and REO closings moved from 2.2% of existing home closings in June 2015 to 1.7% in June 2016.