In July, closings of new homes grew year-over-year in the Worcester, MA market, rebounding from a year-over-year decline in June 2012. New home closings moved from 11 a year earlier to 18 after the figure moved from 32 in June 2011 to 11 in June 2012.
A total of 202 new homes were sold during the 12 months that ended in July, up from 195 for the year that ended in June.
New home closings were 18 out of the 950 total closings, a move on a percentage basis from 11 of 876 a year earlier. For new and existing homes, closings increased year-over-year in July after also increasing in June year-over-year.
Pricing and Mortgage Trends
The average value of newly sold homes in July 2012 was $251,581, down from last year's $323,531. This followed a move from $309,804 per unit in June 2011 to $311,250 in June 2012.
Average mortgage size on newly sold homes saw a decline year-over-year from $278,731 to $232,942. Average mortgage size on new homes went from $212,449 in June 2011 to $329,920 in June 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 10 of 18 new home closings after accounting for four of 11 a year earlier. Meanwhile, single-family homes made up eight of 18 new home closings after making up seven of 11 a year earlier.
The average unit size of newly sold homes fell from 2,395 square feet a year earlier to 1,885 square feet.
Foreclosures and real estate owned (REO) closings remained a drag on the market. Together, foreclosures plus REO closings represented 26.5% of existing home closings. In July 2011, they accounted for 36.2%. The percentage of existing home closings involving foreclosures sank to 7.9% in July from 21.2% a year earlier while REO closings as a percentage of existing home closings rose to 18.6% from 15.0%.
Please refer to the ABOUT THIS MSA tab to learn more about geographic coverage and data availability in the Worcester, MA area.