In the Palm Bay, FL market, new home closings dropped year-over-year in August, but the percentage decline was an improvement from July 2015, suggesting the market may be evening out. Closings declined 12.4% from a year earlier to 78. In comparison, new home closings in the same month last year saw a 15.7% drop year-over-year in July.
A total of 961 new homes were sold during the 12 months that ended in August, down from 972 for the year that ended in July.
Out of all housing closings, new home closings accounted for 5.3%. A year ago, 5.6% of total closings were new home closings. Following a year-over-year decline in July, closings of new and existing homes also sank year-over-year in August.
Pricing and Mortgage Trends
In August, there was a 8.7% lift year-over-year in the average price of newly sold homes, reaching $252,227 per unit. This hike is better than the 7.4% bump in July year-over-year.
There was a rise year-over-year in the average mortgage size on new homes along with new home prices. The average mortgage size saw a 2.4% hike year-over-year to $225,042 in August. In July 2015, average mortgage size on newly sold homes saw a 6.8% bump year-over-year from a year earlier.
Other Market Trends
As a percentage of new home closings, attached unit closings have risen from last year while single-family home closings have dropped. The share of new home closings belonging to attached units increased from 10.1% of closings in August 2014 to 16.7% of closings in August 2015. Conversely, the share belonging to single-family homes sank to 83.3% of closings from 89.9% of closings.
There was a 47.7% drop year-over-year in the average unit size of newly sold homes to 1,478 square feet in August 2015.
Foreclosures and real estate owned (REO) closings decreased in August from a year earlier, but stayed a drag on the market. Foreclosures and REO closings, taken together, accounted for 30.8% of existing closings, lower than 43.6% a year earlier. The percentage of existing home closings involving foreclosures dropped to 12.3% in August from 21.3% a year earlier while REO closings as a percentage of existing home closings sank to 18.5% from 22.3% a year earlier.