Closings of new homes in the Santa Barbara, CA market fell year-over-year in July, and the decline was by a larger percentage than the June 2016. New home closings moved from 54 a year earlier to 13 after the figure moved from 28 in June 2015 to 20 in June 2016.

A total of 316 new homes were sold during the 12 months that ended in July, down from 357 for the year that ended in June.

New home closings were 11.3% of total closings a year earlier, and this percentage saw a fall as new home closings this year made up 13 of the 362 total closings. Closings of new and existing homes fell year-over-year in July after also falling in June year-over-year.

Pricing and Mortgage Trends

The average price of new homes was $503,308, an increase from $480,689 a year earlier. This followed a 8.1% hike in June year-over-year.

Average mortgage size on new homes rose from $372,467 to $398,860. In June 2016, average mortgage size on newly sold homes saw a 10.9% rise year-over-year from a year earlier.

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 continued to drop from a year earlier in July, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings accounted for 10.9% of closings, below 11.1% a year earlier. The percentage of existing home closings involving foreclosures sank to 4.0% in July from 5.9% a year earlier while REO closings as a percentage of existing home closings gained to 6.9% from 5.2%.

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