In preparing for our Weekly Special Housing Report which is emailed to subscribers every Monday morning, I poured through a lot of data on Tallahassee Subdivisions in order to find out which ones had the highest turnover rate. To measure the turnover rate, I divided the number of existing home sales by the total number of homes in each subdivision.
In the real estate graph below, two important statistics are measured for each Tallahassee Subdivision. On the left axis, the turnover rate is shown, while the growth rates is recorded on the right axis. The growth rate is the number of new homes sold this year, divided by the total number of homes in the subdivision as of the end of last year.
Considering that there are over 1,300 recognized subdivisions in Tallahassee, I find it surprising that only 12 had turnover rates exceeding 4% (1 in 25 homeowners moved from these neighborhoods). Additionally, this graph provides a powerful picture for “red alert” neighborhoods … those that added to their supply of homes this year. Most likely, the established neighborhoods that are adding to inventory right now will most likely take the longest to recover to a healthy balanced of supply and demand.