Driven by lower inventory and brisk single family home sales, the median home price in the Tampa Bay area was up 7% in March over 2011. Single family home sales are up 32% year-to-date. Condo sales are up 21%.
Banks continue to work through the short-sale inventory, which now account for 58% of the distressed sales. This shows major improvement in banks’ ability to manage these transactions and get them to closing.
Cash buyers still account for a large percentage of our buyers, somewhere in the 60% to 65% percent range. Financing condos can still be difficult, with most lenders requiring at least a 25% to 30% down payment.
Inventory in the Tampa Bay area is down to less than a five month supply, compared to over a 20 month supply a couple of years ago. This trend should continue to ease prices up slightly. Pinellas County Property Appraiser Pam Dubov predicts prices in most beach communities will rise between 1% and 3% through 2013.
All indications are that we passed the bottom of the market sometime in late 2011. The drastic reduction in inventory means we have far fewer options for our buyers, and in some cases we have had nothing to show.
If you have been on the fence about buying, now is a great time to Contact us and get the process started.