In a report released Tuesday by online real estate giant Zillow, the average home value for April in the Tampa metro is now $271,353, which is up nearly 16% from April 2020.
For some perspective, this is the eighth largest year-over-year spike in the country, says the report. Tampa’s jump in home values is also considerably larger than the national average, which is now $281,370, a 11.6% bump from April 2020.
Consequently, with higher home values comes higher rents. In the last 12 months, the average rental price in Tampa Bay is now $1,617 per month, an increase of $161 or 11.1% since April 2020.
According to the report there are a lot of factors at play here, like low interest rates and an improving economy, but arguably one of the biggest issues is the fact that inventory in Tampa Bay is down a whopping 41.8% from last year.
This means that available homes are staying on the market for just 5 days before going under contract, says Zillow.
And, because of the current feeding frenzy, 19% of Tampa Bay homes sold above list price in February (the most recent data) compared to 8% that sold above list in Feb. 2020.
As of now, the market is not expected to slow down, says Zillow. In just the past month, home values have grown by 1.7% in the Tampa area. The report also speculates that Tampa Bay home values will likely climb another 13.5%, to $307,000 by April 2022.
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This article appears in May 13-19, 2021.