The Tampa real estate market has a price-to-rent ratio of 20.34, making it more attractive to rent than to own. Despite mortgage applications declining, the Tampa housing market is still in high demand, with prices predicted to increase by up to 12.5% in the next 12 months. In the past year, the average home price in the Tampa housing market rose by 34.8%, while the median home value in the United States only increased 19.8%. Moreover, 28% of homes sold in April had to reduce their prices before closing. In addition to low mortgage rates and cash flow potential, Tampa has a price-to-rent ratio that heavily favors investors.
The ratio of 20.34 implies that it's more cost-effective to rent than to buy a home in the Tampa real estate market.
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