As a Florida native, I often get asked about the best time to buy a house in Tampa. It seems like a simple question, but there isn’t a one-size-fits-all answer; the broader answer to the best time of year to buy a home in Tampa depends on what tops your priority list as a home buyer.
For example, are you most interested in low mortgage rates? Do you want the best selection with the most housing inventory? Or is the bottom line for you the lowest listing price? Do you need something turn-key, or are you open to fixer-uppers that need just a little work done?
Let’s start with seasonal timing for buying a house in Tampa since that’s usually what home buyers mean when they ask about the best time of year for the home-buying process.
Best Time to Buy a Home: Low Competition
Springtime and early summer are generally pretty busy in the real estate market. Renters looking to purchase a home for the first time often look during this period because their leases are up during the summer. This also happens to be a popular time for people to list a home.
Because Florida is temperate year-round, there is not as much a winter lull in the real estate market as there is in snowy areas. It is easy for sellers to showcase their beautiful homes regardless of the season. However, there is still a rush of buyers looking for new homes in the springtime and early summer. If you want to avoid the crowd, late summer, autumn, and winter are your best bets.
Best Time to Buy a Home: Inventory
Want a wide variety of choices? If you have been keeping up with my posts, you know that there is low home inventory right now. That means that there are not as many homes listed for sale as there usually would be. This not only creates a more competitive market it can also make it harder to find a home that meets your must-have list.
If you have specific wants for your home—like plenty of land, a large master suite, or space for two home offices—then you are going to be better served by looking when inventory is high. This is often the case in spring and early summer. However, since we are still recovering from the Covid pandemic, there is no guarantee that there will be as many homes listed this year as there were in previous years. We are beginning to see more homes hit the market, which is very exciting. If you want to ensure you have your pick of the many available homes, be sure to talk to your Realtor about what you are looking for so that she can send you relevant listings and keep you informed about what is available that meets your needs.
Seasonal Trends in the Tampa Housing Market
Tampa’s real estate market, like many others, fluctuates throughout the year, so if you know what you’re doing, these patterns can give you a strategic advantage. Here are a few rules of thumb when it comes to buying a house in Tampa and the seasons.
Spring and Summer: Peak Buying Seasons
Spring and summer are traditionally the busiest listing times for the real estate market in the Tampa area. Families prefer to move during these seasons to avoid disrupting their children’s school year, sellers list more properties, and people typically move during what’s considered nice weather since it’s summer (although Florida obviously has excellent weather all year round).
Increased demand during these months can lead to higher prices and more competition among buyers, which makes it a seller’s market. May is the worst month for finding the lowest median sale price, according to ATTOM Data Solutions, with a premium of 10.5% over market value.
However, if you’re a home buyer looking for the most variety of homes, this could be the ideal time to shop real estate. Also, late summer might be a good time to start looking; people are trying to squeeze in last-minute vacations, so you could potentially have less competition.
Fall and Winter: Buyer’s Market
If you’re looking for the best time to buy a house in Tampa at the best price and with less competition, fall and winter are your best bets. Many sellers who list their homes in the fall or winter are often motivated to close before the holidays or early in the new year, which can work in your favor with trying to buy a house fast. Additionally, with fewer buyers in the market, you may have more negotiating power with the asking price, attempt to score new appliances, or even closing costs.
Keep in mind that while inventory listings might be more limited during winter, real estate agents tend to be more available due to the holidays, and home inspectors are not overwhelmed with work. So, if you want more personal attention during open houses and a potentially expedited closing, this is also a great time to buy!
What Month Has Lower Home Prices in Florida?
While Tampa has its unique market dynamics, it follows the broader trends seen across Florida. Historically, the winter holidays after Thanksgiving and through January and February are considered the cheapest months to buy a house in Florida. As mentioned, the market is quieter, and sellers who have had their properties listed through the holidays may be more willing to negotiate on price. The post-holiday season sees fewer buyers plus more serious sellers (and buyers!), creating an ideal environment for those seeking a good deal.
And here’s a nice little golden nugget: according to data analyzed by Forbes, while fall months favor a lower median sales price, home buyers pay an average premium of only 3.3% in October vs. 10.5% on a home purchased in May.
When Is the Best Time To Buy A House in Tampa for the Lowest Mortgage Rates?
Honestly, mortgage rates pretty much depend solely on the Fed’s decision-making process, and we know from these last few years that nothing is guaranteed, economists’ predictions are not always accurate, and the rate war can be a rollercoaster.
What I can tell you is that I’ve had my finger on the pulse for quite some time now, babysitting high interest rates over the past year and the Tampa real estate market. Here are my takeaways:
- The Tampa real estate market holds its value, even amidst fluctuations. Return on investment in this area has been historically strong and continues to be that way.
- Mortgage rates are actually not as high as you think. Hear me out: because they dropped abnormally low during the pandemic, people started to view that as the new normal, and when the rates bounced back to where they typically sat, it simply felt like a lot.
- Economists predict rate drops throughout the end of 2024 and into 2025, so if interest rates are your priority, we’re turning a corner here very soon.
Local Market Insights: Are Tampa Home Prices Dropping?
There has been a more robust influx of housing inventory on the market and some signs of the market cooling slightly, so it’s possible median home prices will drop and affect home sales. The pandemic has really done a number on everything, but things have been normalizing. In general, Tampa home sale prices have increased overall, even during the erratic market fluctuations, so sellers typically get the best list price regardless of what’s going on economically.
Personal Guidance From a Local Real Estate Agent (Me!)
While understanding market trends and economic conditions is essential, here is something else to consider. Personal factors should also play a significant role in your decision-making process. Consider the following:
- Your Financial Readiness: Ensure your finances are in order. This includes having a good credit score, securing a mortgage pre-approval, and having a sufficient down payment saved.
- Lifestyle Needs: Think about your current lifestyle and future plans. Are you planning to start a family soon? Do you need to be close to work or good schools? These factors will influence the timing and location of your purchase.
- Long-Term Investment: Real estate is typically a long-term investment. While timing the market can help you get a better deal, buying a home should align with your long-term financial and personal goals.
It’s always good to discuss your personal goals with your real estate agent because that helps them create the right buying or investment strategy for you. We also are constantly looking at trends in home sales, interest rates, the best and worst months for buying or selling real estate, and what home buyers want. I’m happy to share any and all information about what the market looks like for buying a house in Tampa and how that affects your buying (or selling) power.
Call Me to Start House Hunting in Tampa Today!
If you’re ready to start your home buying journey or have more questions about the Tampa real estate market, don’t hesitate to reach out to me. As a native of the Tampa area with a deep understanding of the local market, I can guide you on the next steps to finding your dream home.
Let’s navigate the Tampa housing market with confidence and secure the best possible deal on your new home. Give me a call today, and I’ll be happy to start showing you listings tomorrow!