The Case Shiller Home Price Index, one of the most respected indicators of home values, increased by 8.1% in January, its fastest rise since before the housing bust.  All metro areas in the 20-city index posted home price gains, and every city except Detroit showed accelerating gains.  

While Tallahassee home values are not included in the index, the closest metro areas did very well:  over a 1-year period Atlanta increased 13%, Tampa improved 8%, and Miami surged 10%.  Tallahassee tends to lag these metro areas in price trends by a few months, but there seems no doubt that home values and prices have moved off the bottom of a long 6-year fall. 

Freddie Mac, the government-sponsored mortgage giant, says the housing market should have the healthiest spring selling season since the housing crash in 2007.  2013 home sales should be up at least 8% compared to 2012.

In Tallahassee this year, single family home sales are up 13% over the beginning of 2012.  At the same time, the inventory of homes for sale is down 11% from 2012, adding pressure to increasing home prices.

Source: Freddie Mac

The National Association of Home Builders released their Improving Markets Index this week.  The IMI continued to expand for the seventh straight month to include 274 improving  markets.

Tallahassee is one of 18 Florida home markets on the list.  The  index measures 3 economic factors: housing permit growth, home price increases,  and employment growth.  All 3 measures in Tallahassee show significant increases  since they bottomed out about a year ago:

Housing permits: Up 2.4% since  bottoming in Dec 2010
Home prices: Up .62% since bottoming in Feb  2012
Employment: Up 2.62% since bottoming in May 2012

Home values  continue to improve in Tallahassee across many
neighborhoods.  Go to www.FreeTallahasseeValue.com for your own custom
home value analysis.     

Pool Homes.  How do swimming pools impact the value of a Tallahassee home?  Let’s break down the numbers on pool homes:

In Leon County in 2012, there were 267 pool homes sold.  This is about 16% of all homes sold.  Of 267 pool homes sold:


214 were located in northeast Tallahassee
4 were located in southwest Tallahassee
Median price was $231,100
Highest price was $1,075,000

Price range of pool homes:
14 were under $100,000
80 were $100,000 – 199,000
83 were $200,000 – 299,000
46 were $300,000 – 399,000

Let’s look at Ox Bottom, a Tallahassee neighborhood with many pool homes.  Of 44 sales in 2012, 14 were pool homes.  If we look at similar size 4 bedroom homes in Ox Bottom, we find the average sales price was $334,583 compared with a sales price of $302,430 for similar homes without a pool. 

So, how much does a pool add to a Tallahassee home value?  It depends on the neighborhood and type of pool.  For a northeast Tallahassee home, a typical pool will increase the value about $10,000 – 15,000.  Larger and more elaborate pools will obviously bring more home value.  Pools attached to homes that are older, smaller, and in less expensive neighborhoods will add less value.  

Since the onset of the housing market crash in 2007, it's been 5 years of home value declines.  Could 2013 be the year of rising values? In other markets like Phoenix and Miami, home prices are definitely rising - and rising rapidly.  In Tallahassee? Not so much. 

Freddie Mac, the government sponsored mortgage giant, keeps a home price index of all metro areas in the US.  Freddie Mac's Tallahassee home price index shows a very up and down trend .  In December 2012, the index showed about a 6% rise in prices year over year.  But in March, the index shows about a 1% decline.  

So, it appears we are on the verge of a sustained home value rise, albeit a very slow, moderate rise.  

Fill out our submission forms to receive a free home value analysis of your home. Or call 850.445.2476.   

Spring is here! Can I get more for my home?  Without a doubt, more Tallahasseehome buyers are out looking in the spring – but does that mean a home seller can ask more for a home?

Not necessarily.  There does not seem to be a correlation between higher home prices and spring selling season.  Prices usually follow longer-term trends such as the housing boom, and subsequent housing bust.

However, there is a distinct peak in the number of homes sold in late spring.  In Tallahassee, more home
sales are consistently closed in June than in any other month.  That means most of those sales contracts are initiated 30 to 60 days in advance - April and May.

What is your home value? Contact us to find out.