In December, the Wilmington, NC market saw a drop year-over-year in new home closings, but the decline in percentage terms was an improvement from November 2015, suggesting that the market may be leveling out. There was a 55.0% fall in new home closings from a year earlier. This came on the heels of a 57.3% decline year-over-year in November.
A total of 924 new homes were sold during the 12 months that ended in December, down from 979 for the year that ended in November.
New home closings made up 7.5% of overall housing closings. This is down from the a year earlier when new home closings made up 14.9% of total closings. Closings of new and existing homes dropped year-over-year in December after also falling in November year-over-year.
Pricing and Mortgage Trends
Average value of new homes sold in December was $280,633 per unit, down 1.2% from a year earlier. This drop is a drop off from the 4.7% fall in November from a year earlier.
For newly sold homes, the average mortgage size saw a bump year-over-year in contrast to new home prices. In December 2015, the average mortgage size was $246,550, a 5.2% boost from a year earlier. In November 2015, average mortgage size on newly sold homes saw a 10.4% lift year-over-year from a year earlier.
Other Market Trends
As a share of new home closings, single-family home closings have climbed from last year while the share belonging to attached units has fallen. The share of new home closings belonging to single-family homes climbed from 96.0% in December 2014 to 97.8% of closings in December 2015. At the same time, the share of new home closings belonging to attached units slid to 2.2% of closings from 4.0% of closings.
The average unit size of newly sold homes gained 2.8% year-over-year to 2,367 square feet in December 2015. The average size of newly sold homes moved from 2,130 square feet in November 2014 to 2,072 square feet in November 2015.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in December, but did not appear to be dragging the market. Out of all existing home closings, foreclosures combined with REO closings made up 14.3% of closings, below 22.7% a year earlier. The percentage of existing home closings involving foreclosures declined to 7.8% in December from 10.0% a year earlier while REO closings as a percentage of existing home closings sank to 6.5% from 12.8% a year earlier.