In the Raleigh, NC market, closings of new homes sank year-over-year in March, curving down after an increase in February 2016. New home closings saw a 9.7% fall from a year earlier to 538. This was after the housing market saw a 15.3% boost year-over-year in February.
A total of 6,240 new homes were sold during the 12 months that ended in March, down from 6,298 for the year that ended in February.
As a percentage of overall housing closings, new home closings represented 26.6%. This is a bump from 25.1% of closings a year earlier. Closings of new and existing homes fell year-over-year in March after remaning steady in February year-over-year.
Pricing and Mortgage Trends
The average price of newly sold homes climbed year-over-year 1.9% in March to $320,740 per unit. This bump compares to a 3.6% drop in February from a year earlier.
For newly sold homes, average mortgage size moved from $258,639 in March 2015 to $261,175 in March 2016. In February 2016, average mortgage size slid 2.9% 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 increased from 75.7% of new closings in March 2015 to 78.6% of closings in March 2016. Conversely, the share of new home closings belonging to attached units sank to 21.4% of closings from 24.3% of closings.
For all new homes sold, the average unit size slid 1.1% year-over-year to 2,667 square feet in March 2016. The average size of newly sold homes moved from 2,638 square feet in February 2015 to 2,698 square feet in February 2016.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in March, but did not appear to be dragging the market. Combined, foreclosures plus REO closings accounted for 10.4% of existing home closings, below 13.8% a year earlier. The percentage of existing home closings involving foreclosures dropped to 4.8% in March from 6.5% a year earlier while REO closings as a percentage of existing home closings declined to 5.5% from 7.3% a year earlier.