Tucson, AZ - Recent Figures for New Home Sales Suggest Market Decline is Mounting
Posted on: May 07, 2012 09:52:43 AM
New home sales in the Tucson, AZ market dropped year-over-year in February, and with a percentage decline steeper than January 2012, there were signs the market may be worsening. New home sales saw a fall of 63.5% from the year earlier to 38 after sales sank 46.4% in January from the year earlier.
A total of 830 new homes were sold during the 12 months that ended in February, down from 896 for the year that ended in January.
New home sales as a percentage of overall housing sales fell to 2.5% from 6.9% of sales a year earlier. Following a fall in January year-over-year, sales of new and existing homes rose year-over-year in February.
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Pricing and Mortgage Trends
The average price of new homes was $201,609 per unit in February, up 2.3%from a year earlier. This rise is smaller than the 8.5% rise in January year-over-year.
For newly sold homes, the average mortgage size increased year-over-year along with new home prices. In February 2012, the average mortgage size was $181,761, up 4.3% from a year earlier. In January 2012, average mortgage size rose 14.2% from a year earlier. Of the overall sale price, the percentage that was being financed rose 1.7 percentage points year-over-year to 90.2% in February 2012.
Tucson, AZ - Recent Figures for New Home Sales Suggest Market Decline is Mounting
Posted on: May 07, 2012 09:52:43 AM
New home sales in the Tucson, AZ market dropped year-over-year in February, and with a percentage decline steeper than January 2012, there were signs the market may be worsening. New home sales saw a fall of 63.5% from the year earlier to 38 after sales sank 46.4% in January from the year earlier.
A total of 830 new homes were sold during the 12 months that ended in February, down from 896 for the year that ended in January.
New home sales as a percentage of overall housing sales fell to 2.5% from 6.9% of sales a year earlier. Following a fall in January year-over-year, sales of new and existing homes rose year-over-year in February.
Pricing and Mortgage Trends
The average price of new homes was $201,609 per unit in February, up 2.3%from a year earlier. This rise is smaller than the 8.5% rise in January year-over-year.
For newly sold homes, the average mortgage size increased year-over-year along with new home prices. In February 2012, the average mortgage size was $181,761, up 4.3% from a year earlier. In January 2012, average mortgage size rose 14.2% from a year earlier. Of the overall sale price, the percentage that was being financed rose 1.7 percentage points year-over-year to 90.2% in February 2012.
Other Market Trends
The share of new home sales made up by attached units has risen while the share belonging to single-family homes has fallen. The share of new home sales belonging to attached units increased from 4.8% of sales in February 2011 to 7.9% of sales in February 2012. Conversely, the share belonging to single-family homes fell to 92.1% of sales from 95.2% of sales.
The average unit size of newly sold homes slipped 6.1% year-over-year to 1,864 square feet in February 2012. This decline was opposite the price rise, a pattern also seen in January 2012 when the average size of newly sold homes slid 15.4% to 1,727 square feet.
Foreclosures and real estate owned (REO) sales remained a burden on the market. Out of all existing home sales, foreclosures combined with REO sales represented 57.2% of sales. In February 2011, they accounted for 63.4%. The percentage of existing home sales involving foreclosures dipped to 25.0% in February from 28.8% a year earlier while REO sales as a percentage of existing home sales declined to 32.2% from 34.6% a year earlier.
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Source: Housing Intelligence