When gas prices rise we become leery about driving. That lowers the value of homes far from jobs. But, by how much? If gas costs $4/gal and you get 20 mpg, each mile you drive costs $0.20. When commuting, you drive that mile twice a day. So, each extra mile costs $100/yr. Based on this, the value of a home falls by about $1,500 for every mile further away it is.