The demand for Tampa homes must be continuously shooting up because the number of homes for sale in Tampa has been continuously dropping since the last quarter of 2008. From the all-time peak of 22,035 homes in May 2007 and from the 2008 peak of 21,541 homes in March 2008, the inventory started its continued descent in September 2008, dropping nearly one percent over the month to 20,862 homes. The pace of descent became faster over the following months.
Comparing the Tampa housing inventory in October 2007 to October this year, the total drop over a period of 5 years is 68.97 percent, almost 69 percent. That’s equivalent to 15,106 homes that are not available in the market today.
Available Tampa homes for sale in:
| October 2007 | 21,902 homes |
| October 2008 | 20,862 homes |
| October 2009 | 16,475 homes |
| October 2010 | 16,498 homes |
| October 2011 | 11,716 homes |
| October 2012 | 6,796 homes |
In terms of months of supply of Tampa homes, the supply has been dropping as follows:
| October 2007 | 17.5 months |
| October 2008 | 16.3 months |
| October 2009 | 9.2 months |
| October 2010 | 11.4 months |
| October 2011 | 7.0 months |
| October 2012 | 3.4 months |
What does Months of Supply mean? It refers to the number of months it would take to sell all homes for sale in an area, based on the current selling pace in the area. According to most real estate analysts, the balanced number is 4 to 5 months. If the number is lower, the area is considered a seller’s market — the sellers are few and buyers are everywhere. These few sellers can increase their prices up to the maximum that the buyers are willing to pay.
If the number is higher, the area is considered a buyer’s market — the buyers are few and sellers are everywhere. These few buyers can force sellers to drop their prices up to the lowest that the sellers are willing to give up their homes for.
Based on the balanced supply of 4 to 5 months, then the Tampa real estate market is a seller’s market this October 2012. This partly explains the increasing home price levels in the Tampa area. Over the month, the average sale price has increased to $169,251 in October from $168,466 and has increased over the year from $151,398. The average listing price has increased to $177,001 from $175,643 in September and from $160,120 in October 2011.
Find your desired Tampa home now! Submit your purchase offer before the home is snapped up.