Our industry specialist has reviewed and approved the final article. Also, some of the data presented here have been integrated into the Tampa real estate spreadsheet template.
Thinking of buying in Tampa? Get our financial spreadsheet tailored to this specific market.
1) Tampa boasts an impressive "livability score" of 80, highlighting its excellent quality of life
Signal strength: strong
The livability score of 80 in Tampa is considered excellent because it reflects a high quality of life for residents.
One reason for this high score is Tampa's vibrant cultural scene, which includes numerous museums and art galleries that attract both locals and tourists. Additionally, Tampa boasts beautiful weather with an average of 244 sunny days per year, making it an attractive place to live and enjoy outdoor activities.
Furthermore, the city has a strong job market, particularly in sectors like healthcare and finance, which supports economic growth and stability. These factors contribute to the city's desirability, making it a promising location for real estate investment as demand for housing is likely to remain strong.
If the livability score were to drop below 70, it might indicate potential issues that could affect property values negatively.
Source: AreaVibes
2) Tampa's "vacancy rate" is just 9.0%, showing it's a bustling and competitive market
Signal strength: strong
The vacancy rate in Tampa is 9.0%, which is considered very low. This low vacancy rate indicates that the market is highly occupied and competitive, suggesting strong demand for rental properties.
When demand is high, it often means that property values are likely to increase over time, making it a potentially lucrative investment. In such a market, investors can expect steady rental income due to the ease of finding tenants.
In Tampa, modern, well-maintained apartments in areas like South Tampa are particularly sought after. These properties are easily rented because they offer convenience and desirable amenities that attract tenants.
If the vacancy rate were to rise above 15%, it might indicate an oversupply of properties, which could make the market less attractive for investment.
Sources: NeighborhoodScout, DataUSA, USCensus
3) The "Howard Frankland Bridge" replacement, set for 2025, will improve Tampa's connections and increase property values
Signal strength: moderate
The Howard Frankland Bridge replacement project, a significant infrastructure development in Tampa, Florida, is set to be completed by 2025. This project is a key factor in enhancing Tampa's connectivity and is expected to boost real estate values in the area.
Spanning 5.8 miles, the new bridge will connect Hillsborough and Pinellas counties, featuring eight lanes and a separate bicycle/pedestrian pathway. This improvement in traffic flow and accessibility will make commuting between Tampa and St. Petersburg more efficient, reducing congestion and travel time for residents and visitors alike.
As a result, the enhanced connectivity is likely to make the surrounding areas more attractive to potential homebuyers and investors. The increased demand for properties in these well-connected areas can lead to a rise in real estate values, making it a promising opportunity for those looking to invest in property.
Moreover, the project's completion will contribute to the overall quality of life in the region, as improved infrastructure often leads to economic growth and development. This can further drive up property values, offering a potential return on investment for those who purchase real estate in the area before the project's completion.
Sources: Fox 13 News, FDOT Tampa Bay
4) Tampa, Florida, is experiencing a population increase of 1.07%
Signal strength: moderate
The population growth in Tampa, Florida, is a key indicator of a thriving real estate market, making property investment in the area a promising opportunity.
Recent data shows that the Tampa metro area population in 2024 is 3,009,000, reflecting a 1.07% increase from 2023. This steady growth suggests a consistent demand for housing, which can lead to increased property values over time. As more people move to the area, the need for housing, amenities, and infrastructure rises, potentially driving up real estate prices.
Looking ahead, forecasts indicate significant population increases by 2050, with a 43% rise expected in the Coastal High Hazard Area and a 22% increase outside this zone. Such projections highlight the long-term potential for property appreciation as the city expands and develops to accommodate its growing population.
Comparatively, Tampa ranks as the 11th fastest-growing city among those with at least a quarter million residents, with a 1.27% population increase between 2022 and 2023. This ranking underscores Tampa's attractiveness as a destination for new residents, further supporting the idea that investing in property here could yield substantial returns.
Sources: Macrotrends, Plan Hillsborough, Plan Hillsborough, Axios, LawnStarter
So, is it worth buying property in Tampa? Absolutely, yes.
Investing in Tampa's real estate market is a smart move, thanks to its excellent livability score and vibrant cultural scene.
The city enjoys 244 sunny days a year, a strong job market, and a low vacancy rate of 9.0%, indicating high demand for housing. These factors suggest that property values are likely to increase, offering a promising return on investment.
Moreover, the upcoming Howard Frankland Bridge replacement will enhance connectivity, further boosting property values. With a population growth of 1.07%, Tampa's real estate market is poised for long-term appreciation, making it a worthwhile investment.