Luxury Real Estate Is Having a Moment in Tampa Bay
Per a recent Redfin report focusing on the third quarter of 2023, sales of the most expensive homes were up more in Tampa Bay than anywhere else in the country. The report defines luxury homes as those priced in the top 5% of their metro area. Non-luxury homes are those priced in the 35th-65th percentile.
The Ritz-Carlton Tower 1 Penthouse set a local record for sales price per square foot when it sold in 2021, and condos are still driving our luxury market boom. Sales of million-dollar-plus units increased by an eye-popping 300% over the same period last year. Single-family sales were up too, but only by 62%.
Takeaways
Luxury home sales jumped 36% in the Tampa Bay metro, the steepest increase anywhere in the country.
Luxury listings rose 14%, a larger increase than any other metro except New York.
Many luxury buyers are avoiding high mortgage rates: 43% paid in cash, up from 35% last year.
On the other hand
Wealthy buyers, which Tampa has quite a few of, have the resources to buy and move. But 90% of homeowners in Florida have a mortgage rate below 6%, and they’re not giving up those rates anytime soon. As a result, the non-luxury market is barely moving, and first-time homebuyers are getting sidelined.
