In July, the Denver, CO market saw a drop year-over-year in new home closings, a shift downward off a lift in June 2016. New home closings saw a 8.5% fall from a year earlier to 563. This was after the housing market saw a 6.4% rise year-over-year in June.
A total of 7,567 new homes were sold during the 12 months that ended in July, down from 7,619 for the year that ended in June.
New home closings represented 8.8% of overall housing closings. They represented 8.3% of closings a year earlier. Closings of new and existing homes dropped year-over-year in July after also falling in June year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes moved to $507,722 in July 2016 from $508,843 in July 2015. This was on the heels of a 4.7% bump in June year-over-year.
In July 2016, average mortgage size on newly sold homes moved from $395,814 to $395,069 from July 2015. In June 2016, average mortgage size on newly sold homes saw a 4.6% surge year-over-year 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. Single-family home closings jumped from 77.4% of new closings in July 2015 to 83.3% of closings in July 2016. Meanwhile, attached units as a percentage of all new home closings sank to 16.7% of closings from 22.6% of closings.
There was a move in the average unit size of newly sold homes from 2,641 square feet in July 2015 to 2,623 square feet in July 2016. In June, the average size of new homes sold went from 2,626 square feet a year earlier to 2,766 square feet. In June 2016, the average size of newly sold homes gained 5.3% from the year earlier.
Foreclosures and real estate owned (REO) closings continued to fall from a year earlier in July, but did not look to be a burden on the market. Foreclosures and REO closings, taken together, made up 4.6% of existing closings, lower than 5.1% a year earlier. The percentage of existing home closings involving foreclosures stayed at 2.5% of closings in July from a year earlier and REO closings moved from 2.7% of existing home closings in July 2015 to 2.1% in July 2016.