Closings of new homes sank year-over-year in September in the Jacksonville, NC market, and with a percentage drop steeper than August 2015, there were hints the market may be worsening. There was a 67.2% drop in new home closings from a year earlier. This came on the heels of a 38.5% decline year-over-year in August.
A total of 662 new homes were sold during the 12 months that ended in September, down from 707 for the year that ended in August.
Out of all housing closings, new home closings accounted for 7.0%. This is down from the a year earlier when new home closings represented 17.2% of total closings. Closings of new and existing homes declined year-over-year in September after also falling in August year-over-year.
Pricing and Mortgage Trends
In September, the average value of new homes saw a 7.3% lift year-over-year as it grew to $211,782 per unit. This bump is higher than the 5.7% boost in August year-over-year.
In September 2015, average mortgage size on newly sold homes moved from $200,176 to $201,878 from September 2014. In August 2015, average mortgage size on newly sold homes saw a 4.2% bump year-over-year 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 September 2015. Single-family home closings have made up all of new home closings while attached unit closings have accounted for no part of closings.
There was a 18.2% gain year-over-year in the average unit size of newly sold homes to 2,360 square feet in September 2015. The average size of newly sold homes moved from 1,903 square feet in August 2014 to 1,922 square feet in August 2015.
Foreclosures and real estate owned (REO) closings decreased in September from a year earlier, but remained a burden on the market. Combined, foreclosures plus REO closings accounted for 51.5% of existing home closings, below 56.0% a year earlier. The percentage of existing home closings involving foreclosures declined to 25.3% in September from 27.2% a year earlier while REO closings as a percentage of existing home closings slid to 26.3% from 28.8% a year earlier.