Closings of new homes in the Springfield, MA market fell year-over-year in March, but the decline was less than the year-over-year decline in February. New home closings moved from nine a year earlier to seven after the figure moved from eight in February 2011 to two in February 2012.
A total of 66 new homes were sold during the 12 months that ended in March, down from 68 for the year that ended in February.
Seven of the 605 total closings were new home closings, a shift on a percentage basis from nine out of 530 a year earlier. Following a year-over-year increase in February, closings of new and existing homes also rose year-over-year in March.
Pricing and Mortgage Trends
The average per-unit price of new homes was $202,580, compared with $208,478 last year. This was on the heels of a 20.2% drop in February from a year earlier.
From the year-ago figure of $128,000, the average mortgage size on new homes moved up to $252,716. Average mortgage size on new homes went from $278,876 in February 2011 to $183,600 in February 2012.
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. Attached closings made up four of seven new home closings after accounting for four of nine a year earlier. Meanwhile, single-family homes made up three of seven new home closings after making up five of nine a year earlier.
The average unit size of newly sold homes fell from 1,546 square feet a year earlier to 1,391 square feet.
Foreclosures and real estate owned (REO) closings remained a burden on the market. Out of all existing home closings, foreclosures combined with REO closings represented 33.3% of closings. They made up 40.5% in March 2011. The percentage of existing home closings involving foreclosures fell to 14.9% in March from 17.1% a year earlier while REO closings as a percentage of existing home closings slipped to 18.4% from 23.4% a year earlier.
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