The real estate market is constantly shifting and evolving no matter where you live, but this seems to be especially true about the Tampa real estate market. Before you decide that 2023 is going to be the year when you’ll buy or sell your home, take some time to read through the advice and wisdom in this article. You’ll walk away with a better understanding of what could happen to the market over the following year and how that impacts your position when buying or selling a home.
1. Let’s get up to speed. What’s been happening with the market lately?
Recently, demand (and prices) have been high. Although the market is beginning to cool off
, things remain fairly competitive, and sellers are the main beneficiary. Average home prices are still higher than they were one year ago, and most homes go under contract within their first two to three weeks on the market. If a home is in especially high demand, it can receive multiple offers with waived contingencies and go off the market in less than a week. Some sellers will experiment with price drops, but more often than not, their home will sell for a price close to asking. For sellers, this means that the next few months could be a great time to sell. For buyers, this means that you should be prepared to make a competitive offer when you find a home that you like. This isn’t the time to look for a deal for pennies on the dollar.
2. Will 2023 be a similar story?
Many experts predict that 2023 will bring about a slight recession
. The market has been especially hot over the past few years thanks to the high buyer demand that resulted from lower interest rates. Over the past few months, interest rates have climbed above pre-pandemic levels, and inflation continues to rise at a higher rate than at any point over the past several decades. These factors, along with other influencers, are contributing to a potential market stall that may happen during the second quarter of next year. That said, most people predict that prices won’t fall too far, and the likelihood of anything happening that resembles the crash of 2008 is highly unlikely.
3. What brings people to Tampa?
Sellers may want to know who they are marketing their homes towards, and buyers might be curious about what kind of competition could present itself. People love the state of Florida because of the proximity to the coast, the pleasant climate, and the lack of state income tax. In addition to each of these factors, Tampa offers residents a great selection of restaurants, shops, and golf courses. Sports fans can take in Rays games throughout the summer or watch the Buccaneers compete for the NFC South title in the fall.
4. If I decide to buy next year, when should I do it?
If you’re looking for the best possible deal, try to buy between October and February. You’ll experience less competition, and you may see more price drops or lower asking prices than average. Homes sell twelve months a year, but sellers usually don’t perform as well during the wintertime. People are often busier with other activities, and many people don’t like to move in colder temperatures. While the Tampa weather is pleasant throughout the year, this can impact those who are coming in from out of state to purchase Tampa luxury homes.
5. If I decide to sell next year, when should I do it?
Sellers tend to make the best profits when listing their homes during the late spring or early summer. Most people have their tax return by then, and they can use the money to fund their down payment. It’s also a good time for families with children to move since one school year is ending and the next won’t begin for multiple months.
6. Should I buy a home next year?
With prices not expected to rise at high levels over the next year, buyers could be in a position to benefit from the market stall. At the same time, because of rising interest rates, it’s unlikely that you’ll spend less on a home if you choose to wait until 2023. In addition, because of the heavy competition in the local market, you should still be prepared to make your best offer when you find a home that you like. If you’re financially ready and motivated to make a purchase, 2023 could be a great time to buy. However, it’s unwise to expect that you’ll spend pennies on the dollar if you choose to make a purchase.
7. Should I sell a home next year?
Even with the market expected to stall, the Tampa real estate market should still favor sellers to some extent, and you’ll likely make a strong profit if you choose to sell your home. A good first step if you’re thinking about selling is to ask your realtor to run a Comparative Market Analysis
on your home. This will give you a better picture of where you might be able to price your home by analyzing data from other homes that have recently sold in your area. You can also think about what upgrades would boost your ROI if you still have time to take on a few renovation projects.
8. Who can help me buy or sell my home?
Despite a rapidly changing and evolving market, the Pardo Calistri Group
always seems to have a strong grasp of what’s happening in the Tampa real estate market. Their agents are some of the top-performing realtors in the entire area, and they are passionate about bringing joy to the process of shopping for a home by helping their clients find properties they will love. When you’re ready to start seriously shopping for homes in the area, or if you want help selling your current home, give them a call.