South Tampa Real Estate Market Report

By
Services for Real Estate Pros with InboundREM

Due to its central location and exciting vibe, South Tampa has recently seen a significant increase in development. Whether you are looking for a quiet suburb or a trendy urban enclave, South Tampa has something for everyone. There is a lot of activity in the real estate market in South Tampa, where people are constantly buying and selling houses. Every day, prices rise. Real estate market trends are important to keep an eye on when considering buying or selling a home in South Tampa.
 
Here, you'll find the most up-to-date information on the South Tampa real estate market.
 
An Overview of South Tampa Real Estate Market
 
Investors in Tampa are purchasing a record number of homes. Investors bought one out of every four properties sold from July to September 2021. For investors, Tampa Bay has been named the 7th most popular metro area in the United States by the Tampa Bay Times. Rising housing costs in Tampa and across the state forced many would-be home buyers to consider renting instead of buying. With an average rent increase of 30%, Florida has seen the most dramatic rise in rents. Professional and commercial services are a significant source of new jobs with higher wages. Because of these corporate raises, Tampa's economy is expanding. There is a growing demand for housing in Tampa and Hillsborough County, where Tampa is located. As a bonus, Tampa is a wonderful place to live and work. The rest of the country is envious of the Tampa Bay Area's success in luring new businesses and residents. A wide range of economic activities in Tampa, including financial services, technology, tourism, and Florida's largest port. Tampa's housing market is expected to benefit from the city's reputation as one of the best places to live in the United States.
 
South Tampa Housing Market
 
South Tampa's real estate market has high competition among sellers and buyers. As a result, the demand for housing has risen significantly in this area. The median home price is expected to grow due to a strong economy and increasing population. This year, home sales are expected to rise by 9.6%, and prices are expected to increase by 6.8%. South Tampa is expected to see significant growth in all areas, including the Hillsborough River and Bayshore Boulevard. Investing in real estate near downtown Tampa's many new developments and projects is the best way to maximize your return on investment (ROI).
 
In November 2021, the average listing price of a home in Tampa, Florida, was $355K, an increase of 10.9% from the previous year. In November 2021, the median price per square foot of a property listed for sale was $229. The average selling price of a home in the area was $350,000. It's a buyer's market in Tampa, FL, in November 2021, which means that more people want to buy than there are houses available to them. The average time it takes to sell a home in Tampa, Florida, is 50 days. As can be seen from the 100 percent sale-to-list price ratio, most properties sell for close to, if not for the total asking price. While Sulphur Springs appears to be the most affordable area of Tampa, Davis Islands has the highest median home price at $2.6 million.
 
South Tampa Competitive Renters’ Market
 
One of the fastest-growing regions in the United States is Tampa Bay. Consequently, the demand for rental properties is on the rise. Because of its proximity to downtown and other nearby business centers, the South Tampa neighborhood is an excellent choice for those looking to rent an apartment in the city. Competition among first-time homebuyers is stifling because of rising demand and limited supply. Institutional investors are also taking an interest in the Tampa rental market.
 
For a three-bedroom property in Tampa, the average monthly rent is $2,250. There are 48% more renters than homeowners in Tampa. Rents in Tampa's East Side Commercial Area, Northview Hills, and Woodland Terrace range from $795 to $1,050 per month. Residents of Historic Hyde Park North, Hyde Park North, and Harbour Island can expect monthly rents of up to $5,500. South Tampa has a plethora of fantastic apartment options, and the market is constantly changing. Please take a look at our most recent listings so you can discover your dream home!
 
Changes In Property Prices And Housing Affordability Over Time
 
As a measure of affordability, median house prices are compared to median household incomes. It's the simplest and most accurate way to figure out how much a house in a particular area costs. Every year, housing affordability has gotten worse, making it more and more expensive to buy a home in South Tampa. It may be more difficult for those in south Tampa hoping to buy a home than ever to get a mortgage because wages aren't keeping pace with property values. Freddie Mac's monthly Freddie Mac House Price Index (FMHPI) report is the best place to begin your research into property prices in the United States! 
 
The following are some of the report's highlights:
 
*HPI for October 2016: 184.3
*HPI for October 2021: 330.9
*Home prices have increased by 79.5 percent in the last five years.
*Change in property prices over a year: 27.2 percent
*Home prices have increased by 1.9 percent in the last month.
 
Renter demand is being forecast by Tampa real estate developers, who are looking into housing affordability. The amount of money you need to earn each year to buy a home in Tampa is compared to the cost of living in the city. ' A business forecast and a personal financial statement will be made available to all. The 100 most populated U.S. metro areas receive annual housing affordability reports from Kiplinger. The rankings are based on a one-to-ten scale, indicating the most affordable markets and ten indicating the least accessible.
 
Kiplinger's assessment of Tampa's housing affordability
 
Since the peak of the Tampa real estate market in May 2006, when prices rose to their highest point, home prices have fallen by 3.7%. There has been a 105.7 percent increase in Tampa's home prices since the previous real estate market bottom in March of 2012. People can afford to rent in Tampa because the cost of housing is neither too high nor too low.
 
Housing Forecast For South Tampa in 2022
 
Owning a home in South Tampa will become increasingly expensive as house prices rise by an annual average of 6.5 percent. Income growth will continue at the same pace, so housing affordability is not expected to worsen significantly over the next decade. Property investors use two methods to forecast demand for a specific rental property: historical price fluctuations and determining housing affordability in a market.
 
The following are some conclusions drawn from the two methods.
 
Tampa-St. Petersburg-Clearwater metro area home values rose 28.7 percent in 2021 and are expected to grow 24.5 percent in 2022. In 2021, the value of a Tampa home increased by 27.6 percent, and in 2022, that growth is expected to continue. In 2021, Clearwater, Florida's median home value increased by 30% ($300,635). In 2022, the growth rate is expected to continue at the same pace. In 2021, the value of a home in Hillsborough County rose by 28.4 percent (to $334,552), and this growth is expected to continue in 2022. As of 2021, the median home value in Pinellas County was $326,623, up 30.1% from the previous year and expected to rise at a similar rate in 2022.
 
Final Thoughts
 
An ever-growing market, South Tampa draws people from all walks of life for various reasons. People from all over the world come to see it and young professionals who want to move to the Tampa area after they buy a home. Even though South Tampa has always been a popular place to live, the area is expected to become more expensive in the coming years. Many people choose to rent their homes rather than buy because the cost of housing is in the middle. There's no doubt that this is an extremely sought-after region, and it's only expected to grow in popularity over the next decade.

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https://yoursouthtampahome.com/south-tampa-real-estate-market-report/

 

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POSTED BY

 

Ellen Zusman

813-789-2096

https://yoursouthtampahome.com/

 

Comments (1)

Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

Thanks for sharing your South Tampa market update with us. Buyers & sellers in your area would benefit from your services. Have a great day!

Jan 26, 2022 02:08 PM