Closings of new homes declined year-over-year in December in the Cleveland, TN market, but the decline was less than the year-over-year decline in November. New home closings moved from 5 a year earlier to 3 after the figure moved from 7 in November 2014 to 3 in November 2015.

A total of 54 new homes were sold during the 12 months that ended in December, down from 56 for the year that ended in November.

New home closings were 3 out of the 191 total closings, down on a percentage basis from 5 of 160 a year earlier. For new and existing homes, closings climbed year-over-year in December after also increasing in November year-over-year.

Pricing and Mortgage Trends

The average price for newly sold homes moved north to $240,600 from $166,540 a year ago. This came after a 9.7% lift in November year-over-year.

The average mortgage size on new homes was $237,310, up from $126,900. Average mortgage size on new homes went from $206,795 in November 2014 to $196,750 in November 2015.

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 rise in December from a year earlier and remained a burden on the market. Foreclosures and REO closings, taken together, represented 26.1% of existing home closings, higher than 25.2% a year earlier. The percentage of existing home closings involving foreclosures went from 13.5% in December 2014 to 13.8% in December 2015 and REO closings moved from 11.6% of existing home closings in December 2014 to 12.2% in December 2015.

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