Most people who have an interest in Tallahassee, Florida recognize that the housing market recovery is finally underway.
You might have heard about the fact that home sales are on the rise and the supply of homes for sale is on the decline, but there is a major change that has occurred in 2013 that seems to be "flying under the radar" for most real estate reporting agencies.
Housing In Tallahassee Florida
When we look at the trend for home sales over the past twelve years, a few things are immediately obvious.
The far right side of the real estate graph above shows that housing in Tallahassee, Florida is definitely recovering. The one year trend of daily home sales has risen above 8 per day for the first time in five years. This is really good news for home sellers, as demand is returning to the market.
But we also have to acknowledge that the 8 home sales per day is roughly one-half of the rate of sales at the top of the market. Additionally, the current rate of home sales in Tallahassee is only at 80% of the daily average for all of the 1990s (and we were a smaller community back then). So clearly, a recovery is underway, but demand is still far too low to get everybody moving back at "normal" levels. Our current inventory of homes for sale in Tallahassee is still imbalanced against many home sellers.
The Big Change For Housing In Tallahassee, FL
Ponder this question for a moment.
We can see the market for housing in Tallahassee, Florida is recovering, but is this recovery "equal" across all areas and price ranges?
Could it be possible that some price ranges are in balance and moving towards a seller's market, while others could still be dealing with a glut scenario?
The answer to this is "yes," and it represents a huge change in the market. For the past 7 years, my Tallahassee real estate reports did not require much price-range scrutiny as all price ranges were glutted with inventory and depreciation was absolute. But things have changed in 2013.
If you own a home that is valued near the median of the market ($130K to $150K), you are rapidly moving towards a seller's market.
In fact homes valued between $125,000 and $225,000 are in balance right now (meaning home sellers and home buyers are on equal footing in a negotiation). All other price ranges above and below that range are still oversupplied, meaning they are in a buyer's market.
So What Is Home Seller To Do?
First of all, don't buy into the hype.
Regardless of where you think you are in the market, demand that the real estate agents you interview to sell your home demonstrate the currently supply and demand for YOUR specific home. Take this information to determine your best move.
Of course, if you would like help determining how your house in Tallahassee, Florida would fare in the market today, just drop me a note and we will schedule a time to review your specific property and market position.