Liberal Blue States See Surge in Home Value Increases, Red States Lag

Liberal Blue States See Surge in Home Value Increases, Red States Lag

We caught you with that headline, right? Self-identified liberals reading this are cheering and conservatives are fuming. Well, the headline is true according to an analysis by Zillow. Blue states have seen home value increases since the last election, but digging into the data reveals a more complicated and interesting picture.

According to Zillow’s analysis, blue state home values have increased at 17.8% while red state values have only improved by 8.9%. Does it have anything to do with political leaning? Maybe not. Most blue states are coastal states where housing saw the biggest gains during the bubble years, followed by the biggest declines. These areas then saw the biggest rebounds because they had fallen so far. Meanwhile, red states overall saw a smaller recovery because their home value declines were not so steep.

But here’s something for red state owners to cheer about: overall red state median home values are 5% below their value peak before the recession. Blue state median home values are still 18% below their peak. This translates to a much larger number of underwater homeowners in blue states.

In addition to categorizing states as either red or blue, Zillow added a third type: purple swing states. Florida is one of those purple states. According to Zillow, Florida home values fell a whopping 35% in the recession, second only to Nevada which fell an even more stunning 39%. Florida has done well since then, gaining the highest home value increases since 2013.

Tallahassee and Leon County experienced very similar home value declines and home value increases. It just seems like Tallahassee lagged behind the national trends by about 6 to 12 months. If you’re curious about your Tallahassee home value increases, fill out the short form below. We’d be happy to provide you the best information!

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