About Tallahassee's Forest Heights

If you haven't seen the Forest Heights neighborhood in Tallahassee, I recommend you make a little field trip to see what a real estate investor's delight should like like. I recently looked at the list of homes for sale in Forest Heights and found several that would my investor clients a very strong rate of return over the next ten years. But apparently, I'm not the only one who has noticed.

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Home sales are getting stronger in the Forest Heights neighborhood in Tallahassee, and this year already shows to have more home sales than any year prior going back to 2006. Real estate investors have found that the combination of value, location, and strong rental demand make this popular community in the 32303 zip code a very smart buy.

For example, there is a home listed for sale on Sharon Road that is priced the same as it would have been over 10 years ago, but rental rates are far higher. Investor yield in real estate is on the rise, and the Forest Heights Neighborhood in Tallahassee is centered on their radar.

Home Prices In The Forest Heights Neighborhood In Tallahassee

The average sales price of a home in the Forest Heights Neighborhood in Tallahassee continues to fall, which only increases the opportunity for high returns for investors. When we look at the real estate graph below, we see unit sales rising while prices are dropping, which usually occurs right before a change in direction on prices (read that to mean ... get 'em while their hot!).

Home Values In The Forest Heights Neighborhood In Tallahassee

We can see the decline of home values in the Forest Heights Neighborhood in Tallahassee seems to have come to an end, as values have bottomed while unit sales are rising. This only confirms that now might be the best time to buy a home in Forest Heights.

View The List Of Recent Home Sales In The Forest Heights Neighborhood In Tallahassee

The 32303 zip code is in the Northwest quadrant of the Tallahassee real estate market, and it features many of the most popular neighborhoods in Tallahassee. This post will provide a quick examination of homes sales in the 32303 zip code and identify some current trends. You will also find a list of recent home sales at the end of this article.

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Average Home Prices In The 32303 Zip Code

Home prices in the 32303 zip code have been on a steady decline due to a glut of supply, and the average price of a home is down from roughly $170,000 at the peak of the market to just $111,000 in June. Currently, the average price trend of homes selling in the 32303 zip code is right at $120,000, and with relative housing inventories on the rise, we can expect the decline to continue.

Average Home Values In The 32303 Zip Code

Home values in the 32303 zip code show a continuous trend of decline. The average price per square foot of homes sold continues to fall, with the average price per square foot of a home sold in June was $81, which is 37% lower than it was at the peak of the market in the 32303 zip code.

The growth in the relative supply of homes should cause existing homeowners some concern should they need to sell a home in the 32303 zip code any time soon. The (repeated) advice to home sellers is the same, plan to hold on for many years, or sell fast and get the top price that you can.

List of Recent Home Sales In The 32303 Zip Code

Forest Heights is heating up, and possibly might become the renegade neighborhood in Tallahassee. Though it has declined in value like the rest of the real estate market, Forest Heights is going to be attracting both real estate investors and owner-occupants alike.

With homes built in the 1950s, 1960s, and 1970s, Forest Heights is a mature subdivision in the northwest quadrant of Leon County. This means that no new construction has occurred in roughly 40 years, and the boom of the housing market pulled it up without having a direct impact on supply. These homes are very much “Tallahassee homes,” and you will find both students and families living in Forest Heights.

Home Prices shot up 77% from 2002 to 2007, but have since receded 31%. To put that in perspective, here’s the wild ride that homeowners have experienced in Forest Heights over the years. A home that would have sold for $109,000 in 2002 appreciated to $194,000 in 2007, but is now selling for $127,000, which is an annualized real estate appreciation rate of 1.6% since 2002.

Currently, home values in Forest Heights are below $80 per square foot, which is why this great rental neighborhood is going to be attracting real estate investors. The home sites (land) are large, and the replacement cost valuations are going to guarantee investors a very healthy long-term rate of return on their investment.

Due to the price point, I would think that most home owners in Forest Heights who want to sell their home should find a buyer very quickly if they are using a super aggressive home selling plan combined with a strategically sound asking price. This is a high demand price range located very conveniently to schools, shopping, etc.,

List Of Recent Sales In Forest Heights