Park Charleston Home Sales Report September 2015

New and newer homes are very popular today, thus the relatively new neighborhood of Park Charleston in NE Tallahassee offers both newer homes as well as close-in location.

The first homes sold closed in the beginning of 2006, but construction and sales still continue today.

This ten year old community can be found just outside of Capital Circle Northeast on the South side of Miccosukee Road.

As we have mentioned with other boom neighborhoods, existing homeowners will likely need to move within similar time schedules (think of it this way, most of them moved in at the same time, many will need to move out at similar times). Thus we are keeping an eye open for pent-up supply and other issues related to deflated values.

In this report, we will look at home prices, home values, and home sizes in Park Charleston, as well as show current listings in the Tallahassee MLS and all closed home sales going back to the beginning of sales in this popular NE Tallahassee neighborhood.

For the real estate graphs found in this report, you will find the number of closed home sales for each year (red columns, measured on the left vertical axis), and an important real estate statistic shown in blue (measured on the right vertical axis).

It is important to note that the narrative contained below is for sales through December for all previous years, but through August in 2015. The graphs and the closed sales table will be continuously updated into the future (meaning bookmark this page if you always want to know the current status of homes in Park Charleston).

Home Prices In Park Charleston

Park Charleston home prices have declined 6% in 2015 when compared to the average in 2014, but the two homes for sale now are at much higher prices. Through August in 2015, the seven homes sold in Park Charleston averaged $244,700.

Average Home Prices

Home sales activity in 2014 was very slow, but there appears to be a minor rebound occurring in 2015. There were 8 closed home sales in Park Charleston all year in 2014, but there have been 7 already in 2015.

Home Values In Park Charleston

In our last home sales report for Park Charleston, we noted that it would be interesting to see how (then) current sellers do in the months to come. Well, we’ve hit “the months to come,” and even with price reductions that have occurred, they continue to ask prices higher than what we have seen sold.

For existing homeowners who need to move, we would expect lower prices to prevail as motivated homeowners yield to normal relocation urges and drop their asking prices to procure a sale.

Average Home Values

Home values have declined 1.5% so far this year, which means current values are 13% lower than the market high set back in 2006. This means that most homeowners who have purchased or refinanced in Park Charleston are dealing with negative equity situations (and thus the higher than market asking prices).

The double-whammy that people who purchased in boom neighborhoods face is that they likely purchased new construction homes near the top of the market. Just as when we buy a new car, we expect to see an immediate decline in value when we purchase a new home, as it will now be a “used” home. Couple that with a declining market and you can see why existing homeowners in a boom neighborhood will be dealing with negative equity for quite a while.