Tampa Condo Prices Down 75%
A national report released on Monday stated that the housing market was at its all time low in 9 years across the nation. The Tampa residential market is showing it’s down 21% in homes, 75% in condominiums, and 41% in townhomes. This isn’t a result of over pricing. In fact, the pricing is excellent compare to other major markets.
Although the condo sales numbers appear alarming and the townhomes not much better, the interesting fact of the matter is that January and February of 2008 are actually proving to be the best firs two months of a year for some time now. That’s promising for those who have their homes on the market.
The question appears to not be one so much about finding a buyer that’s interested in properties but more so in finding a lender that’s interested in lending money. It seems once bitten, twice shy. The problem is that they aren’t just shying away from applicants that barely meet the criteria. They are actually turning down applicants that have a strong credit record and job security because they are not beginning to consider debt ratio as well as other factors. So what does this mean for buyers and sellers?
For sellers you will need to decide how long you want to hold out for your asking price and whether there is room to move on your pricing to help close a deal. If you own a condominium that chance of it selling aren’t that great and you might consider putting it up as a rental property for the time being.
As a seller, you need to put your financing in place before you start making offers. It will save time and grief all the way around. It’s also important that you get your debt load down so that the lender has more confidence.
Don’t give up on the market yet folks. There is still plenty of activity in the Tampa area, which remains one of the most popular places to reside in the country. So just keep riding the ride. It has to smooth out sooner or later.
Raul Aleman