In the Anchorage, AK market, closings of new homes slid year-over-year in May, but the decline was less than the year-over-year decline in April. New home closings moved from 32 a year earlier to 10 after the figure moved from 40 in April 2015 to 12 in April 2016.
A total of 322 new homes were sold during the 12 months that ended in May, down from 344 for the year that ended in April.
New home closings were 4.3% of total closings a year earlier, and this percentage saw a drop as new home closings this year made up 10 of the 718 total closings. For new and existing homes, closings sank in May after also declining in April year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes in May 2016 was $255,624, down from last year's $427,980. This came after a 10.5% fall in April from a year earlier.
Average mortgage size on newly sold homes saw a decline year-over-year from $377,658 to $241,779. Average mortgage size on new homes went from $324,898 in April 2015 to $302,897 in April 2016.
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.
The average unit size of newly sold homes fell from 2,635 square feet a year earlier to 1,543 square feet.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in May, but did not appear to be dragging the market. Combined, foreclosures plus REO closings made up 7.2% of existing home closings, below 10.2% a year earlier. The percentage of existing home closings involving foreclosures declined to 2.8% in May from 3.8% a year earlier while REO closings as a percentage of existing home closings slid to 4.4% from 6.4% a year earlier.