Why We’re Still in a Seller’s Market in Tampa Bay

You’re likely reading headlines in the news everyday about the slumping housing market, but it’s important to remember that individual housing markets, such as Pinellas County and the Greater Tampa Bay area, are in a market of their own. When it comes to housing demand and market trends it's important to know what's going on in our local market vs. the national market.

While it’s true that we have seen a “deceleration” in the market, the best homes are still selling quickly in Pinellas County and often for record prices. Even with all the news across the country about a housing market slump and rising mortgage interest rates, our local housing market still has one big factor working in the favor of homeowners today- and that’s housing inventory.

Low Housing Inventory is Driving Up Home Prices

The number of homes available for sale in the Tampa Bay area and most of the U.S. is still incredibly low. According to the NAR (National Association of Realtors), there is only a 2.6 month supply of homes for sale across the country right now. As we’ve said many times before, a balanced housing market requires around 5-6 months of housing inventory. To give more context, between 2020-2022 (the height of the housing market), the national inventory supply fluctuated between 2.3-3.1 months of inventory. We still fall within that range currently, meaning the inventory shortage we were facing then, really hasn’t improved.

In the Tampa Bay area, the best homes still sell quickly and sometimes over the asking price in the most coveted neighborhoods. For example, we just listed a single-family home in the Seminole area in March of 2023 that sold for $25,000 over the initial listing price within 2 days of hitting the market. The home was in great shape, priced under $500k, and in a popular Seminole neighborhood, close to the beach and top-ranked schools.

In February 2023, the Pinellas County housing market only had 1.8 months of active housing inventory, which is 31% less than the national average. So while buyers may be adjusting their budgets and moving a bit slower these days, they are still competing for a relatively small amount of homes for sale. On top of that, the average single-family home price in Pinellas increased by almost +8% year over year and the number of new listings has dropped by double digit percentage points every month since August 2022. That means home prices in Pinellas are still growing past the prices of 2020-2022 and with a decline in new home listings, there will likely be no price drops headed our way any time soon.

How to Get Top Dollar in Today's Market

Homeowners thinking of selling their homes in today’s market should know that there are still plenty of motivated and qualified buyers out there. However, there are 3 important things to remember if sellers want to get top dollar for their homes:

•Price the home correctly with your Realtor from the Start. The minute an overpriced home hits the market, today’s buyers will ignore it completely.

•Stage Your Home to Sell. While you may not need a professional home stager, go through your home and to ensure it doesn’t feel cluttered, make sure it’s sparkling clean, and remove family photos and other personalized items. Want to prepare your home yourself? See more on our tips for this HERE.

•Make Showings Easy for Buyers. Take into consideration that buyers will be excited about a new listing hitting the market. Make sure you can accommodate frequent showing requests in that first week to get motivated buyers into your home as soon as possible.

Summary

2023 is turning out to be a great time to sell your home if you’ve been thinking about a move. Pinellas County continues to be a popular destination for people relocating to Florida as well as for residents moving from other areas of the state. If housing inventory remains low, sellers will continue to get maximum exposure to buyers and collect record-breaking prices for their homes when it comes time to sell.

If you’ve been thinking about selling your home this year and aren’t sure where to start, give us a call at (727) 400-3315 or send us a message. We’d love to give you a free in-person home valuation.

Not ready to meet in person and just want to start with an instant online home value estimate? Click HERE.