New home closings dropped year-over-year in August in the Portland, ME market, and the decline was by a larger percentage than the July 2015. New home closings moved from 5 a year earlier to 3 after the figure moved from 4 in July 2014 to 3 in July 2015.

A total of 61 new homes were sold during the 12 months that ended in August, down from 63 for the year that ended in July.

3 of the 375 total closings were new home closings, a shift on a percentage basis from 5 out of 316 a year earlier. Closings of new and existing homes rose year-over-year in August after also rising in July year-over-year.

Pricing and Mortgage Trends

The average value of newly sold homes in August 2015 was $72,250, down from last year's $258,209. This came after a 36.2% fall in July from a year earlier.

Average mortgage size on newly sold homes saw a decline year-over-year from $249,560 to $57,800. Average mortgage size on new homes went from $285,004 in July 2014 to $181,760 in July 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.

The average unit size of newly sold homes fell from 1,398 square feet a year earlier to 885 square feet.

Foreclosures and real estate owned (REO) closings rose in August from a year earlier and did not appear to be dragging the market. Together, foreclosures plus REO closings accounted for 9.1% of existing home closings, up from 9.0% a year earlier. The percentage of existing home closings involving foreclosures went from 3.2% in August 2014 to 2.4% in August 2015 and REO closings moved from 5.8% of existing home closings in August 2014 to 6.7% in August 2015.

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