Tampa Bay investors are finding out how hot the area is lately, ranking #6 among the top 50 cities for Real Estate investing. Everyone likes generating wealth, especially if the return (ROI) is on a real estate investment. It is extremely satisfying when you put your money to work for you. Real Estate investors look all over the place searching for the best property to invest their money in. Their money has been working extra hard here in Tampa. Over the past 12 months, Tampa’s investors have averaged 16.7 percent gross return on their investment. That is incredibly high, a very attractive rate of return and savvy financial or real estate professionals know it! Good numbers equal good returns.
The housing market has been on a steady and stable uptick all year. This has led to the increased activity in the real estate market that we are now seeing. As more people learn and hear about the stabilization here in Florida, they want in on the action. Not so fast, supply is limited and we have been shifting to a sellers’ market since 2013. The rock bottom super good deals are either gone as soon as they pop up or scarce. An investor or owner occupant buyer needs to be prepared to act quickly if they want to land a great deal.
With property values increasing, and instances of competing offers becoming commonplace, offer strategies have to be altered. Higher offers, closer to asking price in 2015 is a pleasant surprise for sellers. This level of activity is consistent with the valuation of real estate and equity being on the upswing. South Tampa is exceptionally hot right now. Always has been, but especially so recently! SI Real Estate sold a South Tampa property in 6 days last month. Not only did it sell extremely quickly, there were 3 competing offers that led to full asking price. Chris Smith, owner of Bay to Gulf Holdings, went as far as to say “South Tampa (is) Impossible…. everybody wants to live there” in regards to finding deals. Nibal Elsaadi, Broker at SI Real Estate, agrees! If this isn’t proof the market is booming, nothing is!
Not only is Tampa thriving with Real Estate activity, so are two other real estate hot spots here in Florida. No surprise, Miami ranks 3rd in the nation with 18.6% gross returns, and Orlando ranks 10th with just under 15%. For large volume property buyers, this type of market is not so great. When you have a market like Tampa, with attractive investment potential, more people look here to purchase. More people looking equals more competition, which means higher selling prices. On the other side of that fence, if you are listing a Tampa home with a local brokerage such as SI Real Estate, this scenario plays heavily in your favor. You will wind up getting more money for your home, back up offers, and a faster transaction from start to finish. It is refreshing to see all of the positive industry news coming out this year. As always, we love to talk about it and share it with you! Stay tuned to SI Real Estate’s blog for more updates soon! J