New home closings in the Fayetteville, AR market slid year-over-year in December, and the decline was by a larger percentage than the November 2015. New home closings moved from 91 a year earlier to 12 after the figure moved from 87 in November 2014 to 17 in November 2015.
A total of 720 new homes were sold during the 12 months that ended in December, down from 799 for the year that ended in November.
New home closings were 11.0% of total closings a year earlier, and this percentage saw a drop as new home closings this year made up 12 of the 809 total closings. For new and existing homes, closings fell in December after also declining in November year-over-year.
Pricing and Mortgage Trends
The average new home price was $283,167, up from $230,475 a year earlier. This was on the heels of a 5.1% boost in November year-over-year.
Average mortgage size on new homes rose from $203,173 to $247,027. In November 2015, average mortgage size jumped 1.3% 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 December 2015.
The average unit size of newly sold homes rose from 2,092 square feet a year earlier to 2,931 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in December, but did not look to be a burden on the market. Together, foreclosures plus REO closings made up 17.9% of existing home closings, down from 23.1% a year earlier. The percentage of existing home closings involving foreclosures sank to 8.8% in December from 10.1% a year earlier while REO closings as a percentage of existing home closings slid to 9.2% from 13.0% a year earlier.