Closings of new homes in the Lubbock, TX market fell year-over-year in January, and the decline was by a larger percentage than the December 2015. New home closings moved from 32 a year earlier to 8 after the figure moved from 33 in December 2014 to 16 in December 2015.
A total of 299 new homes were sold during the 12 months that ended in January, down from 323 for the year that ended in December.
Last year, 32 of 433 total closings were new homes, and this percentage saw a decline as new home closings this year made up 8 of the 410 total closings. Following a year-over-year decline in December, closings of new and existing homes also sank year-over-year in January.
Pricing and Mortgage Trends
The average per-unit price of new homes was $193,826, compared with $272,224 last year. This was on the heels of a 30.9% lift in December year-over-year.
There was a decline in average mortgage size on new homes, going from $234,463 last year to $177,688 in January 2016. In December 2015, average mortgage size on newly sold homes saw a 22.8% bump year-over-year from a year earlier.
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 fell from 2,140 square feet a year earlier to 1,648 square feet.
Foreclosures and real estate owned (REO) closings increased in January from a year earlier and did not appear to be dragging the market. Foreclosures and REO closings, taken together, made up 15.9% of existing home closings, higher than 14.2% a year earlier. The percentage of existing home closings involving foreclosures went from 8.5% in January 2015 to 8.7% in January 2016 and REO closings as a percentage of existing home closings increased to 7.2% from 5.7%.