In the Blacksburg, VA market in June, new home closings sank year-over-year, dropping after a year-over-year increase in May 2016. New home closings moved from 16 a year earlier to 10 after the figure moved from 8 in May 2015 to 10 in May 2016.
A total of 89 new homes were sold during the 12 months that ended in June, down from 95 for the year that ended in May.
On a percentage basis, new home closings as a part of total closings decreased to 3.6% from 5.7% a year earlier. For new and existing homes, closings slid in June after also declining in May year-over-year.
Pricing and Mortgage Trends
The average new home value went from $269,059 last year to $294,839. This came after a 8.7% hike in May year-over-year.
The average mortgage size went down to $238,448 from $277,969 a year earlier. Average mortgage size on new homes went from $246,379 in May 2015 to $255,060 in May 2016.
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.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in June, but did not look to be a burden on the market. Out of all existing home closings, foreclosures combined with REO closings made up 13.8% of closings, below 14.0% a year earlier. The percentage of existing home closings involving foreclosures dropped to 6.3% in June from 9.1% a year earlier while REO closings as a percentage of existing home closings rose to 7.5% from 4.9%.