Closings of new homes declined year-over-year in May in the Wausau, WI market, and the decline was by a larger percentage than the April 2016. New home closings moved from 7 a year earlier to 4 after the figure moved from 3 in April 2015 to 2 in April 2016.
A total of 60 new homes were sold during the 12 months that ended in May, down from 63 for the year that ended in April.
Last year, 7 of 203 total closings were new homes, and this percentage saw a decline as new home closings this year made up 4 of the 211 total closings. Closings of new and existing homes climbed year-over-year in May after also rising in April year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes in May 2016 was $158,550, down from last year's $247,729. This came after a 6.9% fall in April from a year earlier.
Average mortgage size on new homes fell from $194,059 to $140,550. Average mortgage size on new homes went from $137,680 in April 2015 to $161,450 in April 2016.
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 increased in May from a year earlier and did not appear to be dragging the market. Foreclosures and REO closings, taken together, made up 14.0% of existing home closings, higher than 12.8% a year earlier. The percentage of existing home closings involving foreclosures dropped to 4.3% in May from 7.1% a year earlier while REO closings as a percentage of existing home closings rose to 9.7% from 5.6%.