Washington, DC - Recent Figures for New Home Sales Suggest Market Drop is Mounting
Posted on: May 07, 2012 09:55:49 AM
In the Washington, DC market, sales of new homes declined year-over-year in January, and the percentage decline, which was more severe than December 2011, gave suggestions that the market may be worsening. Sales declined 9.6% from a year earlier to 492, compared with a 1.8% decline in December from the year earlier.
A total of 9,229 new homes were sold during the 12 months that ended in January, down from 9,281 for the year that ended in December.
New home sales represented 11.1% of overall housing sales. As a part of the whole, new home sales were 11.3% a year earlier. For new and existing homes, sales slipped in January after also declining in December year-over-year.
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Pricing and Mortgage Trends
For newly sold homes, the average price increased 3.9% year-over-year in January to $458,722 per unit. This rise is smaller than the 4.2% rise in December year-over-year.
The average mortgage size on newly sold homes saw a rise year-over-year along with new home prices. It rose to $395,242 in January, a 2.3% rise. In December 2011, average mortgage size increased 2.6% from a year earlier. For new home sales, the percentage of the sale price that was being financed dipped 1.3 percentage points year-over-year to 86.2% in January 2012.
Washington, DC - Recent Figures for New Home Sales Suggest Market Drop is Mounting
Posted on: May 07, 2012 09:55:49 AM
In the Washington, DC market, sales of new homes declined year-over-year in January, and the percentage decline, which was more severe than December 2011, gave suggestions that the market may be worsening. Sales declined 9.6% from a year earlier to 492, compared with a 1.8% decline in December from the year earlier.
A total of 9,229 new homes were sold during the 12 months that ended in January, down from 9,281 for the year that ended in December.
New home sales represented 11.1% of overall housing sales. As a part of the whole, new home sales were 11.3% a year earlier. For new and existing homes, sales slipped in January after also declining in December year-over-year.
Pricing and Mortgage Trends
For newly sold homes, the average price increased 3.9% year-over-year in January to $458,722 per unit. This rise is smaller than the 4.2% rise in December year-over-year.
The average mortgage size on newly sold homes saw a rise year-over-year along with new home prices. It rose to $395,242 in January, a 2.3% rise. In December 2011, average mortgage size increased 2.6% from a year earlier. For new home sales, the percentage of the sale price that was being financed dipped 1.3 percentage points year-over-year to 86.2% in January 2012.
Other Market Trends
The percentage of new home sales belonging to single-family homes has risen from last year while the portion of new home sales belonging to attached units has dropped. Single-family home sales increased from 54.6% of new sales in January 2011 to 56.1% of sales in January 2012. Conversely, the share of new home sales belonging to attached units fell to 43.9% of sales from 45.4% of sales.
There was a 41.9% fall year-over-year in the average unit size of newly sold homes to 1,711 square feet in January 2012. For newly sold homes, an average size drop contrasting with an average price rise was also seen in December 2011 when the average size of newly sold homes declined 34.3% to 1,901 square feet.
Foreclosures and real estate owned (REO) sales fell in January from a year earlier, but remained a burden on the market. Foreclosures and REO sales, taken together, made up 33.4% of existing sales, lower than 46.8% a year earlier. The percentage of existing home sales involving foreclosures fell to 13.3% in January from 20.2% a year earlier while REO sales as a percentage of existing home sales slipped to 20.1% from 26.6% a year earlier.
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Source: Housing Intelligence