What’s the recent news for the local real estate market: Bidding
Wars, Fewer Homes for Sale, Foreclosures snapped up as soon as they hit the
There’s a lot of talk in the local media, both Print and
Television, about the Tampa Real Estate market and the appearance of it turning
from a Buyer’s to a Seller’s advantage. The public’s response to these articles
has been overwhelmingly, well let’s just say reserved.
The reality is that the news has been accurate, despite the
grumblings of people who say it’s just hype by realtors trying to give a false
impression of what the housing market in Tampa Bay is really like.
When 17 investors are bidding on a house that ultimately
sells for $12,000 more than the asking price, or a first time home buyer is
offering $8,000 more for a home than the asking price and still not getting it,
I think it’s pretty clear that the market is changing and that people who are
choosing to sell their homes now are having a much easier time doing it than
they were 2 years ago. Or even last year for that matter.
In March of 2009 the number of homes for sale in Tampa Bay
exceeded 32,000 properties.
In 2011, that number this same time last year was 24,163
Today it’s just under 16,000.
Despite these facts, the public perception is it can’t be a “Sellers
Market”. The reason they think that could be they don’t understand what the term actually
The definition of a Seller’s Market is when there are more
buyers than homes for sale. Since supply is less than demand, homes can be
priced a little higher than they were before and will sell faster because of
the lack of inventory.
Now, add to this scenario the fact that Twenty Percent of
the homes for sale in the Tampa Bay area are Short Sales AND homes
available in the most sought after areas are limited because so many people owe
much more than its current value and don’t want to take a loss or do a Short
What is created-a market that allows a seller to move their home quickly
at a price that might be higher than they would typically get.
This describes many neighborhoods throughout the Tampa
It doesn’t mean you can sell your home for whatever price
you choose, and that home values are skyrocketing-which seems to be what people
think when they hear this term.
Now obviously this is not the case in the entire Tampa Bay area. There are still places that are flooded with short sale
homes and they outnumber the regular sales 3 to 1 in some cases. These
communities still have a ways to go before they will see the same situation
that others are currently experiencing.
But for the neighborhoods that have a lack of inventory,
very few short sales, and even fewer foreclosures, the ability to sell a home
quickly and at a higher price hasn’t been this good in years.