New home closings fell year-over-year in December in the Jackson, TN market, dropping after a year-over-year increase in November 2015. New home closings moved from 5 a year earlier to 2 after the figure moved from 1 in November 2014 to 7 in November 2015.

A total of 44 new homes were sold during the 12 months that ended in December, down from 47 for the year that ended in November.

New home closings were 2.8% of total closings a year earlier, and this percentage saw a drop as new home closings this year made up 2 of the 149 total closings. Following a year-over-year rise in November, closings of new and existing homes slid year-over-year in December.

Pricing and Mortgage Trends

The average per-unit price of new homes was $236,750, compared with $280,552 last year. This was on the heels of a 14.5% hike in November year-over-year.

Average mortgage size on new homes increased to $215,033 from $180,500 last year. Average mortgage size on new homes went from $75,000 in November 2014 to $177,203 in November 2015.

Other Market Trends

There was no change in the composition of the new home market with regard to the types of properties sold in December 2015.

The average unit size of newly sold homes went from 2,704 square feet in December 2014 to 2,700 square feet in December 2015.

Foreclosures and real estate owned (REO) closings fell in December from a year earlier, but remained a burden on the market. Combined, foreclosures plus REO closings accounted for 36.1% of existing home closings, below 36.6% a year earlier. The percentage of existing home closings involving foreclosures sank to 9.5% in December from 25.0% a year earlier while REO closings as a percentage of existing home closings increased to 26.5% from 11.6%.

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