It’s a great time to become a real estate agent in Tampa, FL. Let’s look at the economic, demographic, and real estate-specific indicators to determine the Tampa housing market forecast for 2025. Then, we’ll tell you how you can capitalize on this optimistic forecast by becoming a new agent in Tampa.
Current Tampa Housing Market Overview
Zillow ranked Tampa 10th on its list of hottest housing markets for 2024. The writers at Zillow surmised that Tampa’s diverse economy and 244 days of sunshine are two possible reasons the west central Florida city draws in local and out-of-state buyers.
But did Tampa live up to Zillow’s expectations? Yes, it did! Low inventory, high demand, and competitive bidding characterized the Tampa market this year.
Let’s look at the current data – as of November 2024.
- House prices in Tampa, Florida, were $375,947 (up 1.7% YoY).
- High demand: Quick sales with a median of 29 days to pending indicates strong buyer interest.
- Steady price growth: The median list price, at $433,800, shows sellers’ confidence that buyers would pay elevated prices.
- Sale-to-list ratios: On average, homes sold for 98.2% of the list price, with 18.6% selling over the list price, demonstrating a competitive market.
With that said, the number of closed sales in Tampa decreased from 2023 to 2024 – as did the dollar sales volume.
Economic Indicators Affecting the Housing Market in Tampa
Consider these broader economic indicators as you plan for your real estate career.
Job growth and employment rates
Tampa’s job growth has nearly doubled the national pace over the last decade. Jobs in healthcare, technology, insurance, and financial services drive the region.
This job growth attracts new residents and fuels housing demand, especially for higher-end properties.
Population growth and migration patterns
The current population of Tampa’s metro area is 3,009,000, a 1.07% increase from 2023. The Tampa/St. Petersburg/Clearwater region is the second-largest metropolitan area in Florida. With ongoing population growth and an influx of residents from high-cost states, Tampa’s housing demand shows no signs of slowing.
The population increase keeps competition high and contributes to price growth across property types.
Mortgage interest rates
Interest rates play a critical role in affordability. While rates have risen over the past few years, they may stabilize or slightly decrease in 2025, making homeownership more attainable and potentially increasing demand further.
Local developments and infrastructure improvements
Tampa is expected to build more homes in 2025 than any other major U.S. market.
In addition, several major developments are under construction in Tampa, including condos, a build-to-suit trophy office complex, and an entertainment destination in the Water Street Tampa development. Additionally, more affordable housing is planned for the Gasworx area. Plans are already in the works for a Tampa Riverwalk extension, which would provide a safe connection to downtown from surrounding neighborhoods.
These enhancements improve quality of life and drive demand for housing.
Expected Tampa Housing Market Trends for 2025
Tampa-St. Petersburg has been named in several reports as a housing market to watch for 2025. Here’s why.
Tampa home prices forecast
The forecast for 2025 suggests another increase in home prices in Tampa. The Tampa Bay Business Journal reports that median home values may rise to $386,630 by September 2025. Of course, as home values climb, affordability may become more of a concern, especially for first-time buyers.
Forecasted average home prices for various neighborhoods
Redfin provided this list of 15 popular Tampa, FL neighborhoods. While we cannot offer 2025 price projections for these neighborhoods, here are the current home values for these popular neighborhoods as of November 2024.
- Ballast Point: $578,763 (up 1.7% YoY)
- Bayshore Beautiful: $991,550 (up 2.6% YoY)
- Beach Park: $1,325,739 (up 4.1% YoY)
- Davis Island: $1,448,938 (up 4.9% YoY)
- Downtown Tampa: $491,901 (down 5.0% YoY)
- East Tampa: $264,219 (up 3.9% YoY)
- Forest Hills: $336,232 (up 4.1% YoY)
- Harbour Island: $592,212 (down 1.9% YoY)
- New Tampa: $490,422 (up 0.7% YoY)
- Old Seminole Heights: $379,890 (up 1.9% YoY)
- Palma Ceia: $931,875 (up 1.9% YoY)
- South Howard: $495,135 (up 0.1% YoY)
- Tampa Heights: $435,230 (up 1.2% YoY)
- Ybor City: $287,890 (down 0.1% YoY)
Source for home values: Zillow, November 2024
As you look at these home values, remember your Tampa real estate license income is based on a percentage of the sale price. You can earn up to 3% when assisting with a sale, which you must share with your brokerage. Real estate is a lucrative industry, even when you factor in the total cost of getting your license.
Breakdown of market trends for different property types
The Tampa-St. Petersburg metro area has shown strong performance as a real estate investment destination, with an 8.6% annualized total return over the past 10 years, according to the NCREIF Property Index (NPI).
This positive trend is expected to continue across various property types.
Single-family homes are likely to remain the most sought-after, particularly in family-friendly neighborhoods. Due to continued demand, price growth is anticipated.
Condos are also projected to see steady appreciation, especially in places popular with young professionals.
Meanwhile, townhomes are expected to grow in popularity as a more affordable alternative to single-family homes, with price increases forecasted at 3-4%.
Tampa’s housing market forecast for 2025 remains optimistic, with steady growth in home prices, ongoing demand, increased supply, and a robust economic foundation.
Don’t wait to get your real estate license in Tampa. Start your Florida real estate course today by enrolling in Gold Coast Schools.
Sources:
“2025 U.S. | Canada Emerging Trends in Real Estate.” Urban Land Institute. ETRE 2025 – Home page
Llovio, Louis. “Report: Tampa-St. Pete Housing Will Be a Top 5 US Market in 2025.” Business Observer, October 31, 2024. https://www.businessobserverfl.com/news/2024/oct/31/tampa-housing-market/.