Lots and Land Sales Rise In Tallahassee
It has been quite some time since we have reviewed lots and land sales in Tallahassee, and our update is quite revealing in terms of where the housing market is heading.
Currently, there are 623 lots and land for sale in Tallahassee, which represents more than 1 lot for sale for every 4 homes for sale.
Additionally, there are many more that are not listed, and we will see this abundance of developed lots and land continue to impact the Tallahassee real estate market.
In many Tallahassee neighborhoods, home builders are able to buy lots and land cheap and thus bring homes to the market at prices consistent or below existing home sales prices.
Lots And Land Sales In Tallahassee
The following graph shows that lots and land sales in Tallahassee have started to rise as land values decline.
In the real estate graph above, the green area shows that the number of lots and land sales are up 50% since the bottom of the land market in 2009 (currently averaging about 63 sales per month), while average values have dropped below $40,000.
The abundance of cheap lots and land could very well be a siren's song for home builders desperate to get their crews and sub contractors back to work. With the supply of homes for sale in Tallahassee already on the glut side, these new homes are taking the place of existing home sales which need to clear the market sooner or later.
I worry that these pockets of new construction might drive home values even lower in the neighborhoods that are seeing the greatest amount of construction.
Buying Lots And Land In Tallahassee
If you are thinking about purchasing lots and land in Tallahassee, you should equip yourself with an excellent buyer's agent. The market has many more offerings than can be found online, and a buyers agent will help you get the best deal to be found.
If you would like to know more about buying lots and land in or around Tallahassee, just drop me a note and we can schedule an interview to help you discover how we can help you make the best purchase possible.