In April, closings of new homes in the Gainesville, FL market gained year-over-year, and the percentage gain that was sharper than March 2016 seems to indicate improving market conditions. New home closings saw a hike of 36.4% from the year earlier to 30. This came on the heels of a 9.1% boost year-over-year in March.
A total of 406 new homes were sold during the 12 months that ended in April, up from 398 for the year that ended in March.
As a percentage of overall housing closings, new home closings accounted for 7.5%. This is a surge from 5.3% of closings a year earlier. Closings of new and existing homes sank year-over-year in April after also falling in March year-over-year.
Pricing and Mortgage Trends
In April, the average price of newly sold homes jumped 32.6% year-over-year to $276,773 per unit. This surge is higher than the 13.6% hike in March year-over-year.
Average mortgage size on new homes climbed year-over-year along with new home prices. It gained to $244,273 in April, a 18.9% boost. In March 2016, average mortgage size fell 3.0% from a year earlier.
Other Market Trends
The percentage of new home closings belonging to single-family homes has risen from last year while the portion of new home closings belonging to attached units has dropped. The share of new home closings belonging to single-family homes jumped from 81.8% in April 2015 to 93.3% of closings in April 2016. Conversely, the share of new home closings belonging to attached units declined to 6.7% of closings from 18.2% of closings.
The average unit size of newly sold homes rose 13.1% year-over-year to 2,274 square feet in April 2016.
Foreclosures and real estate owned (REO) closings continued to drop from a year earlier in April, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, represented 20.6% of existing closings, lower than 34.1% a year earlier. The percentage of existing home closings involving foreclosures slid to 6.8% in April from 12.9% a year earlier while REO closings as a percentage of existing home closings dropped to 13.8% from 21.2% a year earlier.