Closings of new homes slid year-over-year in January in the Baltimore, MD market, a move downward following a surge in December 2015. There was a 32.5% fall in new home closings from a year earlier. This came on the heels of a 16.3% rise year-over-year in December.
A total of 3,646 new homes were sold during the 12 months that ended in January, down from 3,713 for the year that ended in December.
As a percentage of overall housing closings, new home closings made up 5.3%. This is down from the 6.5% of closings a year earlier. Following a period of little movement in December from a year earlier, closings of new and existing homes sank year-over-year in January.
Pricing and Mortgage Trends
The average price of new homes climbed year-over-year in January to $496,502 per unit, a rise of 6.4%. This rise compares to a 5.6% drop in December from a year earlier.
The average mortgage size on new homes moved north year-over-year along with new home prices. In January 2016, the average mortgage size was $404,529, up 3.7% from a year earlier. In December 2015, average mortgage size fell 1.0% 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 January 2016. From a year ago, attached unit closings have accounted for 52.5% of all new homes closings while single-family closings have made up 47.5% of closings.
The average unit size of newly sold homes dropped 6.6% year-over-year to 2,744 square feet in January 2016. In December, the average size of new homes sold went from 3,055 square feet a year earlier to 2,690 square feet.
Foreclosures and real estate owned (REO) closings fell in January from a year earlier, but remained a drag on the market. Out of all existing home closings, foreclosures combined with REO closings made up 30.0% of closings, below 52.6% a year earlier. The percentage of existing home closings involving foreclosures sank to 7.7% in January from 31.4% a year earlier while REO closings as a percentage of existing home closings grew to 22.3% from 21.2%.