Cleveland, OH - Latest Figures for New Home Sales Suggest Market Fall is Mounting
Posted on: May 06, 2012 09:20:22 AM
In the Cleveland, OH market in January, sales of new homes dropped year-over-year, and the percentage fall, which was harsher than December 2011, gave signals that the market may be worsening. New home sales saw a 33.0% drop from a year earlier to 59. This came on the heels of a 10.4% fall year-over-year in December.
A total of 1,183 new homes were sold during the 12 months that ended in January, down from 1,212 for the year that ended in December.
As a percentage of overall housing sales, new home sales accounted for 3.2%, less than the 4.9% of sales a year earlier. Following a decline in December year-over-year, sales of new and existing homes rose year-over-year in January.
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Pricing and Mortgage Trends
Average value of new homes sold in January was $219,016 per unit, down 9.4% from a year earlier. This decline is larger than the 6.2% decline in December from a year earlier.
In contrast to new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. In January 2012, there was a 5.1% rise in the average mortgage size, reaching $211,911. In December 2011, average mortgage size on newly sold homes saw a 10.1% decline from a year earlier. Of the overall sale price, the percentage that was being financed gained 13.3 percentage points year-over-year to 96.8% in January 2012. This came after a 3.8 percentage point decline in December from a year earlier.
Cleveland, OH - Latest Figures for New Home Sales Suggest Market Fall is Mounting
Posted on: May 06, 2012 09:20:22 AM
In the Cleveland, OH market in January, sales of new homes dropped year-over-year, and the percentage fall, which was harsher than December 2011, gave signals that the market may be worsening. New home sales saw a 33.0% drop from a year earlier to 59. This came on the heels of a 10.4% fall year-over-year in December.
A total of 1,183 new homes were sold during the 12 months that ended in January, down from 1,212 for the year that ended in December.
As a percentage of overall housing sales, new home sales accounted for 3.2%, less than the 4.9% of sales a year earlier. Following a decline in December year-over-year, sales of new and existing homes rose year-over-year in January.
Pricing and Mortgage Trends
Average value of new homes sold in January was $219,016 per unit, down 9.4% from a year earlier. This decline is larger than the 6.2% decline in December from a year earlier.
In contrast to new home prices, there was an increase year-over-year in the average mortgage size on newly sold homes. In January 2012, there was a 5.1% rise in the average mortgage size, reaching $211,911. In December 2011, average mortgage size on newly sold homes saw a 10.1% decline from a year earlier. Of the overall sale price, the percentage that was being financed gained 13.3 percentage points year-over-year to 96.8% in January 2012. This came after a 3.8 percentage point decline in December from a year earlier.
Other Market Trends
Single-family homes accounted for a greater percentage of new home sales than last year. Single-family home sales rose from 90.9% of new sales in January 2011 to 93.2% of sales in January 2012. Meanwhile, attached units as a percentage of all new home sales slid to 6.8% of sales from 9.1% of sales.
The average unit size of newly sold homes declined 10.6% year-over-year to 1,668 square feet in January 2012.
Foreclosures and real estate owned (REO) sales remained a burden on the market. Out of all existing home sales, foreclosures combined with REO sales made up 59.5% of sales. They accounted for 66.3% in January 2011. The percentage of existing home sales involving foreclosures fell to 30.1% in January from 31.6% a year earlier while REO sales as a percentage of existing home sales slipped to 29.5% from 34.8% a year earlier.
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Source: Housing Intelligence