TAMPA, Fla. — A year that saw high housing prices keep many out of the market has come to an end.
According to area experts, two-decade-high mortgage rates and low inventory shaped Tampa Bay's 2023 real estate market. But they're optimistic about what 2024 will bring to the region.
Adam Grenville, president of Greater Tampa Realtors, foresees kinder interest rates and more lending options in the new year.
"In 2024, we're starting to see some market shift or we're starting to see some interest rates come back down, which is a great thing for all our buyers," Grenville said.
Cyndee Haydon, associate broker with Future Homes Realty, foresees those lower interest rates opening up housing options to younger buyers.
"Most people don't realize is we are heading into the biggest bubble of buyers since the baby boomers. So we have 50 million people ages 28 to 38, and most of them are buying their first home at 34. But, you know, they've been trying. But with these interest rates, that's been a challenge," Haydon said.
However, while interest rates are going down, the price of living in paradise is still projected to increase in 2024.
"We won't scream up. I think it'll inch up," Haydon added.
"Home prices have continued to increase year over year, and I don't think that's going to change any time soon because there's still a really dramatic shortage of inventory," Grenville said.
In terms of "hot spots," as the Tampa Bay region continues to grow, experts project rural areas will be increasingly desirable in 2024.
"I think that we're seeing just tons and tons of new construction, especially like in Pasco county, in the north Tampa area," Grenville said.
"Places like Lakeland have boomed and then we've seen it in Pasco and probably all the way up to Citrus," Haydon said. "People are wanting a little more space, whether it's for gardening or growing or, you know, raising chickens. But I mean, things we didn't hear about five years ago."