Tampa was named one of the top 10 cities that will “dominate home construction” over the next year, according to an analysis by Realtor.com.
This is during a time when the number of listings for available homes is about half of what it was a year ago when the pandemic started. Inventory is shrinking due to high lumber costs and other factors, but there is still high demand for new homes.
The report reviewed permit applications, median list price, and one-year change in permits. Tampa made the No. 10 spot on the list because of its median home price ($305,000), number of permits (4,251) and one-year change in permits (up 24%). Other factors that make the Tampa Bay area popular, according to the report, include its attraction to retirees, people looking for warmer weather and a lower cost of living. In the report, Bob Glaser, president and CEO of Smith & Associates Real Estate, also said that “the Super-Bowl put an extra spotlight on the area.”
Jennifer Motsinger, the Executive VP for the Tampa Bay Builders Association, said that this surge in construction is not necessarily a new thing. “The whole region has had a surge in demand, including Pasco, Pinellas, and Hillsborough County, where Tampa is located,” she said in a telephone interview.
Motsinger attributes the surge to last year’s pandemic when people were forced to stay in their homes. Now they are looking to buy something new and with more space. She noted that the Tampa Bay region is affordable, and interest rates remain low.
The variety of homes to choose from, including single family and multi-family, and the diversity in the area are also a big draw for homebuyers. Homebuyers from the Northeast can get “lot more house” for their money, she said, adding that many reasonably priced homes include their own swimming pool. The average price of a home is lower, as compared to many other cities, like Miami.
Other cities that made the Realtor.com were: (1) Dallas, Texas, (2) New York, New York, (3) Phoenix, Arizona, (4) Washington, D.C., (5) Atlanta, Georgia, (6) Los Angeles, California, (7) Seattle, Washington, (8) Philadelphia, Pennsylvania and (9) Charlotte, North Carolina.