In the Waco, TX market, closings of new homes dropped year-over-year in June, a downhill move after a surge in May 2016. New home closings saw a decline of 20.6% from the year earlier to 27. This followed a 8.3% jump year-over-year in May.
A total of 274 new homes were sold during the 12 months that ended in June, down from 281 for the year that ended in May.
Out of all housing closings, new home closings represented 4.8%. This is a fall 6.9% of closings a year earlier. For new and existing homes, closings grew year-over-year in June after also increasing in May year-over-year.
Pricing and Mortgage Trends
In June, there was a 18.2% lift year-over-year in the average price of newly sold homes, reaching $239,273 per unit. This hike compares to a 7.9% drop in May from a year earlier.
The average mortgage size on newly sold homes jumped year-over-year along with the average price of new homes. In June 2016, the average mortgage size on newly sold homes saw a 10.0% hike from a year earlier. Average mortgage size declined 2.6% in May 2016 from a year earlier.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in June 2016. Single-family home closings have represented all of new home closings while attached unit closings have made up no part of closings.
For all new homes sold, the average unit size dropped 18.7% year-over-year to 1,766 square feet in June 2016. In May, the average size of new homes sold went from 2,378 square feet a year earlier to 2,450 square feet.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in June, but did not look to be a burden on the market. Together, foreclosures plus REO closings represented 14.2% of existing home closings, down from 16.4% a year earlier. The percentage of existing home closings involving foreclosures slid to 7.5% in June from 9.0% a year earlier and REO closings moved from 7.4% of existing home closings in June 2015 to 6.7% in June 2016.