The Honolulu, HI market saw a drop in new home closings year-over-year in June, and the decline was by a larger percentage than the May 2016. New home closings moved from 47 a year earlier to 11 after the figure moved from 67 in May 2015 to 27 in May 2016.
A total of 631 new homes were sold during the 12 months that ended in June, down from 667 for the year that ended in May.
Last year, 47 of 1,905 total closings were new homes, and this percentage saw a decline as new home closings this year made up 11 of the 1,031 total closings. Following a year-over-year rise in May, closings of new and existing homes fell year-over-year in June.
Pricing and Mortgage Trends
The average new home price was $956,056, up from $681,541 a year earlier. This was on the heels of a 29.7% gain in May year-over-year.
Average mortgage size on new homes increased to $738,761 from $575,900 last year. In May 2016, average mortgage size grew 22.4% from a year earlier.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen.
The average unit size of newly sold homes fell from 1,626 square feet a year earlier to 1,533 square feet.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in June, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings made up 7.2% of closings, below 7.4% a year earlier. The percentage of existing home closings involving foreclosures rose to 3.8% in June from 1.1% a year earlier while REO closings as a percentage of existing home closings slid to 3.3% from 6.4% a year earlier.