Closings of new homes fell year-over-year in August in the Harrisonburg, VA market, and the decline was by a larger percentage than the July 2015. New home closings moved from 12 a year earlier to 4 after the figure moved from 8 in July 2014 to 4 in July 2015.

A total of 64 new homes were sold during the 12 months that ended in August, down from 72 for the year that ended in July.

New home closings were 4 out of the 166 total closings, down on a percentage basis from 12 of 153 a year earlier. Closings of new and existing homes increased year-over-year in August after also rising in July year-over-year.

Pricing and Mortgage Trends

The average new home value went from $233,265 last year to $283,138. This came after a 6.5% fall in July from a year earlier.

Average mortgage size on new homes rose from $196,082 to $289,777. Average mortgage size on new homes went from $224,446 in July 2014 to $189,478 in July 2015.

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 rose from 2,341 square feet a year earlier to 4,353 square feet.

Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in August, but did not appear to be dragging the market. Foreclosures and REO closings, taken together, accounted for 9.9% of existing closings, lower than 17.7% a year earlier. The percentage of existing home closings involving foreclosures sank to 3.1% in August from 9.2% a year earlier while REO closings as a percentage of existing home closings slid to 6.8% from 8.5% a year earlier.

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