In the Ocean City, NJ market, new home closings sank year-over-year in June, dropping after a year-over-year increase in May 2016. New home closings moved from 13 a year earlier to 3 after the figure moved from 3 in May 2015 to 4 in May 2016.
A total of 75 new homes were sold during the 12 months that ended in June, down from 85 for the year that ended in May.
New home closings were 3.0% of total closings a year earlier, and this percentage saw a fall as new home closings this year made up 3 of the 418 total closings. Following a period of little movement in May from a year earlier, closings of new and existing homes fell year-over-year in June.
Pricing and Mortgage Trends
The average price of new homes rose to $668,000 from last year's $596,257. This was on the heels of a 3.0% decline in May from a year earlier.
Average mortgage size on new homes rose from $266,892 to $438,640. Average mortgage size on new homes went from $606,000 in May 2015 to $417,831 in May 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.
Foreclosures and real estate owned (REO) closings rose in June from a year earlier and did not look to be a burden on the market. Together, foreclosures plus REO closings accounted for 15.4% of existing home closings, up from 11.8% a year earlier. The percentage of existing home closings involving foreclosures went from 6.4% in June 2015 to 7.2% in June 2016 and REO closings as a percentage of existing home closings increased to 8.2% from 5.5%.