Tampa’s market is finding stability again, though not as much as it probably should. The average value for all homes is at $165,200 – which is substantially less than the high of $206,000 at the end of 2006. Values are expected to rise by about 4% annually until they gradually come to a stop. Despite this growth, nearly 14% of Tampa homes wind up selling for less than their previous sale price, and 17% will ultimately sell at a price cut.
Foreclosures are complicated in the Tampa area, as Florida has one of the longest eviction processes in the country. Though foreclosures do happen, they’re in line with the national averages. Though foreclosures match statistical averages, negative equity in Tampa is actually double the United States average. This is the main factor that affects the startling amount of homes that sell for below their previous sale price, and the trend will continue until nearly all properties affected are paid off or sold.
The market is currently cold, favoring buyers. Sellers aren’t getting the offers they’re expecting, and homes are sitting on the market for longer than many homeowners expect. Since the transitional period to a full recovery has been stable and sufficient progress has been made, the market is technically healthy.
This average level of health means a lot in terms of recovery, though it may cause some stressful situations for homeowners. Many are looking to sell, but the buyers have the advantage. Sellers aren’t profiting much, if any, off of the sale of their homes. These sales only happen when buyers deem these homes worth buying, and in some areas of Tampa, that doesn’t happen very often.