Closings of new homes in the Boston, MA market declined year-over-year in August, and the decline was by a larger percentage than the July 2015. New home closings moved from 48 a year earlier to 12 after the figure moved from 61 in July 2014 to 32 in July 2015.
A total of 365 new homes were sold during the 12 months that ended in August, down from 401 for the year that ended in July.
12 of the 7,033 total closings were new home closings, a shift on a percentage basis from 48 out of 6,254 a year earlier. For new and existing homes, closings jumped year-over-year in August after also increasing in July year-over-year.
Pricing and Mortgage Trends
The average per-unit price of new homes was $388,552, compared with $493,476 last year. This followed a 21.9% drop in July from a year earlier.
The average mortgage size went down to $303,001 from $360,596 a year earlier. In July 2015, average mortgage size on newly sold homes saw a 10.9% decline from a year earlier.
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 rose from 2,232 square feet a year earlier to 2,602 square feet.
Foreclosures and real estate owned (REO) closings increased in August from a year earlier and did not appear to be dragging the market. Foreclosures and REO closings, taken together, represented 9.8% of existing home closings, higher than 6.5% a year earlier. The percentage of existing home closings involving foreclosures rose to 4.7% in August from 3.2% a year earlier while REO closings as a percentage of existing home closings climbed to 5.1% from 3.3%.