In the Kalamazoo, MI market, closings of new homes increased year-over-year in December, rebounding from a year-over-year decline in November 2015. New home closings moved from 11 a year earlier to 14 after the figure moved from 10 in November 2014 to 8 in November 2015.
A total of 195 new homes were sold during the 12 months that ended in December, up from 192 for the year that ended in November.
New home closings were 14 out of 335 total closings, making up 4.2%. This is up on a percentage basis from 11 of 427 a year earlier. Following a year-over-year decline in November, closings of new and existing homes also dropped year-over-year in December.
Pricing and Mortgage Trends
The average value of newly sold homes in December 2015 was $253,654, down from last year's $261,471. This came after a 11.8% drop in November from a year earlier.
Average mortgage size on newly sold homes saw a decline year-over-year from $250,431 to $190,209. Average mortgage size on new homes went from $242,838 in November 2014 to $247,129 in November 2015.
Other Market Trends
The share of new home closings made up by attached units has risen while the share belonging to single-family homes has fallen.
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. Together, foreclosures plus REO closings made up 21.5% of existing home closings, down from 27.2% a year earlier. The percentage of existing home closings involving foreclosures fell to 10.0% in December from 11.8% a year earlier while REO closings as a percentage of existing home closings declined to 11.5% from 15.4% a year earlier.