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Tampa Bay Real Estate Market Update

By
Real Estate Agent with Re/Max Metro

The Tampa-bay area is currently over supplied with homes and property for sale.  In addition, interest rates are at a historic low and expected to stay low for the rest of 2007, creating a window of opportunity for prospective house, condo, and property buyers to get their hands on a solid deal in this buyers market for Tampa-bay, including St. Petersburg, and St. Pete Beach.

 

Yesterday evening as I was driving home and noticing the growing number of for sale signs, I received a concerned call from an acquaintance.  His home has been listed for nearly 3 months but has only been shown a handful of times, and he was considering shifting gears and obtaining a new realtor.  I told him that a new realtor may not be the solution and that the reason his house was not selling is because we have an over saturation of homes for sale in this buyer's market.  Before considering a new realtor you may need to adjust your sales price so that it stands out from comparable listings in your area. 

 

Yes, it is a Buyer's Market. If you are thinking about buying a home-Condo. The time is now. Almost all the sellers will work with us on prices-terms  and there are enough properties on the market to go on to the next one if the first one doesn't want to negotiate.

So here it is, prices have come back down to year 2002-2003 levels. There is no guarantee as to how long they will stay down, so if you thought it was a good idea a couple of years ago now may just be the time to buy that home or condo you were considering then. We currently have many properties on the market to choose from and there are "deals" to be had, sellers are waiting for the buyers to come in and make offers. We also have plenty of foreclosures and short sale properties to choose from, but you have to be very patient ( it takes an average of 3 months) . Remember short sale properties are not for everyone.

Anonymous
CJ Stuart
I agree. Is this caused just to concerns over insurance and taxes or other factors? I live in Westchase and looking to move to St. Pete. Not sure if I should stay or sell. Thanks, CJ
Mar 31, 2007 12:25 AM
#1
Keyvan Kohan
Re/Max Metro - Saint Petersburg, FL
Broker/V.P. CRS, GRI, e-Pro

Good morning CJ,

 

Insurance and taxes are only part of the problem.  Allow me to explain a brief history of the Tampa Bay area.  Several years ago home prices here were valued lower than other markets in Central and South Florida.  When the prime rates were at 4% many people took advantage of that to buy low and sell high.  Now that prime has risen investors are out of the picture.  I believe that counts for nearly a third of the market.  Keep in mind that this coupled with rising insurance and tax rates are halting home sales.

With regard to your question of buying or selling, it is dependent on when you purchased the home in Westchase and how much equity lies within.  You should have a realtor prepare a true Competitive Market Analysis on your property to help make the decision.

We are definitely in a time zone for market correction. Put simply, properties can not appreciate 10 or 20 percent every year for ever. I believe we have reached the top and we are going through the correction period.  The best investment is owning properties......case in point, Donald Trump.

 

Best Regards,

Keyvan Kohan

 

Mar 31, 2007 01:05 AM