In the Charlottesville, VA market in January, new home closings fell year-over-year, and the decline was by a larger percentage than the December 2015. New home closings moved from 23 a year earlier to 7 after the figure moved from 30 in December 2014 to 23 in December 2015.

A total of 232 new homes were sold during the 12 months that ended in January, down from 248 for the year that ended in December.

New home closings were 11.2% of total closings a year earlier, and this percentage saw a drop as new home closings this year made up 7 of the 184 total closings. Following a year-over-year decline in December, closings of new and existing homes also dropped year-over-year in January.

Pricing and Mortgage Trends

The average new home price was $425,373, down from $490,861 a year earlier. This came after a 9.9% decline in December from a year earlier.

Average mortgage size on new homes fell from $351,418 to $312,982. Average mortgage size went from $299,546 in December 2014 to $297,682 in December 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 January 2016.

The average unit size of newly sold homes rose from 2,787 square feet a year earlier to 3,204 square feet.

Foreclosures and real estate owned (REO) closings increased in January from a year earlier and did not look to be a burden on the market. Foreclosures and REO closings, taken together, accounted for 21.5% of existing home closings, up from 18.7% a year earlier. The percentage of existing home closings involving foreclosures went from 13.2% in January 2015 to 13.0% in January 2016 and REO closings as a percentage of existing home closings jumped to 8.5% from 5.5%.

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