Tampa Housing Market 2022: Prices, Trends & Forecast
According to Zillow, the Tampa housing market in 2022 is forecasted to be one of the year’s hottest markets. Prices are still a bit affordable, and houses are selling fast for cash in Tampa, FL. Most homes on the market receive multiple offers. Keep reading to learn more about the Tampa housing market prices, trends, and forecasts.
Tampa Housing Market Prices
The housing prices in the Tampa housing market have continued to increase due to the low housing supply. There is currently only a one-month supply of housing available.
The combination of a low housing supply and high demand for single-family homes in the area has resulted in the prices increasing, but the Tampa area is considered one of the more affordable housing markets in the Sunshine state.
Rising mortgage rates are also leading to houses being more expensive.
Tampa also takes up a portion of Hillsborough county. The median price of homes in the Hillsborough area has increased by almost 28%. Currently, the median price of homes is approximately $428,000.
The median sale price for condos saw an increase of almost 30%. The median price is approximately $284,000.
The Tampa housing market is a seller’s market, as shown in the price increases. Sellers hold power at the negotiating table, making them ensure they get top dollar for the homes on the market.
Buyers can expect to see prices continue to climb until the market stabilizes. Let’s look at the housing trends to see if the market is correcting itself.
Tampa Housing Market Trends
The current inventory is one month. A housing market needs six months’ supply to be considered a healthy market. While one month is still too low for it to be a buyer’s market, the housing supply has seen a 50% increase year over year.
The housing supply for condos has also increased by almost 30%, but the supply is still only .9 months.
There are signs that the market is slowing down. A decrease in the purchase of single-family homes is a huge indicator that the market may be on its way to correcting itself. According to Greater Tampa Realtors, there was a 13.2% decrease in the sale of single-family homes.
Tampa, Florida, is a part of the Tampa-St. Petersburg-Clearwater area when it comes to statistical data. Year over year, overall sales for the area are down by almost 7%.
However, cash sales are up almost 11% year over year for the entire metropolitan area. Homeowners are seeing an increase in out-of-state cash buyers purchasing homes in the market, which means investors are buying housing in the Tampa-St. Petersburg- Clearwater area. This trend is contributing to the increase in prices.
Tampa saw an increase of almost 3% in cash sales.
Closed sales in the Tampa housing market decreased by almost 8%.
New pending sales are down by almost 10%.
Most single-family homes spend an average of 42 days on the market. Offers are being accepted sooner, even though prices have increased by almost 30% for both the average and median sale prices.
These trends indicate that the market is still a seller’s market, but the future might be promising for buyers.
Tampa Housing Market Forecast
ATTOM Data released a study that revealed that the Tampa housing market was least susceptible to the impact of the pandemic when compared to other housing markets. The only exceptions were the areas of Polk and Hernando counties.
This may explain why investors are so interested in housing in the Tampa area. It provides a haven for their investments, whereas other housing markets are overheating or crumbling.
This stability and high demand will continue to exist, but the market will see stabilization. As the prices continue to climb higher, many people are shying away from purchasing houses.
This trend is going to continue. House prices will continue to climb slightly due to investors that live out of state purchasing buildings in the area with cash. However, the drastic price increases are going to halt slowly. Instead, house prices will slowly increase. Selling to companies in Tampa that pay cash for houses is easy if you know where to find them. If you can’t find a reputable one right away, keep looking. Cyber Homes is a good option, but there are others.
Eventually, they will only increase as properties appreciate, but this could take years. In the past ten years, properties have appreciated by 210%.
As more buyers continue to shy away from the hot housing market, the supply of houses on the market will continue to increase. If this trend continues, it will be a healthy housing market in a few years. This will happen sooner if investors stop purchasing many properties in the area.
Although the market is hot right now, that doesn’t mean it will be sizzling forever. We saw this same trend in the Fort Worth housing market. It was overheated and is finally cooling off. We can expect to see this happen in the coming years.
Year over year, price increases have led to homes spending more time on the market. The combination of overvalued homes and rising mortgage rates have led to fewer people buying homes, even though Tampa is still a desirable place to live.
The increase in the supply of houses indicates that the market is working on correcting itself. Investors can keep the area a seller’s market by purchasing more property. If this slows down, the market will correct itself sooner.
Buyers will have their time to shine in the coming years. As the market stabilizes, buyers will find that they have more negotiating power. They’ll have more choices regarding houses as the housing supply continues to increase.
To prepare for the future, sellers can look into home improvements that increase home value to ensure they continue to get top dollar for their houses. Buyers can ensure they know what to look for in a real estate agent, so they’re prepared when it’s a good time to buy.