In the Lincoln, NE market in September, closings of new homes sank year-over-year, but the percentage drop was not as steep as August 2015, suggesting that the market may be stabilizing. Closings slumped 15.4% from a year earlier to 44. This followed a 21.2% drop year-over-year in August.
A total of 637 new homes were sold during the 12 months that ended in September, down from 645 for the year that ended in August.
As a percentage of overall housing closings, new home closings represented 8.0%. This is a decline 9.5% of closings a year earlier. Closings of new and existing homes stayed level after increasing in August year-over-year.
Pricing and Mortgage Trends
The average per-unit price of newly sold homes grew year-over-year to $281,362 in September, up 20.3% from last year. This boost is better than the 9.0% gain in August year-over-year.
For newly sold homes, the average mortgage size saw a surge year-over-year along with new home prices. It gained 9.6% in September from a year earlier to $218,230. Average mortgage size grew 2.9% in August 2015 from a year earlier.
Other Market Trends
The percentage of new home closings belonging to single-family homes has risen from last year while the portion of new home closings belonging to attached units has dropped. Single-family home closings climbed from 59.6% of new closings in September 2014 to 72.7% of closings in September 2015. Meanwhile, attached units as a percentage of all new home closings declined to 27.3% of closings from 40.4% of closings.
For all new homes sold, the average unit size climbed 9.3% year-over-year to 1,924 square feet in September 2015. The average size of newly sold homes moved from 1,792 square feet in August 2014 to 1,657 square feet in August 2015.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in September, but did not appear to be dragging the market. Combined, foreclosures plus REO closings accounted for 6.2% of existing home closings, below 8.7% a year earlier. The percentage of existing home closings involving foreclosures sank to 2.6% in September from 4.7% a year earlier and REO closings moved from 4.1% of existing home closings in September 2014 to 3.6% in September 2015.