{"id":12840,"date":"2022-09-29T15:52:28","date_gmt":"2022-09-29T22:52:28","guid":{"rendered":"https:\/\/www.homelight.com\/blog\/?p=12840"},"modified":"2023-07-07T21:55:53","modified_gmt":"2023-07-08T04:55:53","slug":"buyer-buy-house-in-tampa","status":"publish","type":"post","link":"https:\/\/www.homelight.com\/blog\/buyer-buy-house-in-tampa\/","title":{"rendered":"How to Buy a House in Tampa: Hidden Costs, Hot Neighborhoods, and HOAs"},"content":{"rendered":"

Over the last decade, Tampa, Florida<\/a> has seen population growth around 17%<\/a> thanks to its warm and temperate climate and thriving businesses. It also boasts top-rated schools<\/a>, bustling waterways, professional sports teams, and unique theme parks. Needless to say, opportunity awaits as you look to buy a house in this amazing city.<\/p>\n

But as with any huge decision, you should expect to face some challenges before you can relax with keys at closing (and maybe a dinner celebration at the historic Columbia Restaurant<\/a> the city is known for!).<\/p>\n

In Tampa you\u2019ll be dealing with older housing stock, a six-month-long hurricane season<\/a>, and some of the highest homeowners insurance premiums and HOA fees in the nation. We\u2019ve talked to Jason Pithers<\/a>, a top-performing Tampa real estate agent and Legends Society Award Winner, and pored over 71 pages of data<\/a> from the Tampa Association of Realtors to bring you this awesome guide for everything you need to buy a house in Tampa.<\/p>\n

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Figure out how much house you can afford in Tampa<\/h2>\n

No matter where you buy a house \u2014 whether it\u2019s \u201cThe Big Guava<\/a>\u201d or the moon \u2014 step one is the same: determine how much house you can afford<\/a> so you can set a reasonable price range for your search.<\/p>\n

This will save you the time and angst of touring homes that you could never afford in the first place. You\u2019ll need to think about how much money you bring in every month from various income streams, what your expenses will be, and your current debt load, including credit cards, student loans, and car payments.<\/p>\n

Start with HomeLight\u2019s home affordability calculator<\/h3>\n

To make things easier, HomeLight created a simple home affordability calculator<\/a> that does all the hard work for you \u2014 just type in your city \u201cTampa, FL\u201d at the top, fill in the rest of the fields, and let the calculator work its magic. With that ballpark range in mind, you can head into conversations with your lender well-informed about your own financial situation<\/a> and start the process of getting pre-approved for a mortgage<\/a>.<\/p>\n

Though the market is prone to fluctuation, you can expect a median price<\/a> for single-family homes in Tampa to be around $404,150 (as of August 2022 \u2014 that\u2019s up from $250,000<\/a> in November 2019!) Homes in Tampa are priced to sell \u2014 purchase prices tend to land at 98.4% of list prices \u2014 so you can expect to pay close to what a seller is asking.<\/p>\n

Budget and plan for additional expenses: Maintenance and insurance<\/h3>\n

When you buy a house, you\u2019ll need to think about ongoing expenses, such as maintenance and insurance, in addition to your upfront down payment and closing costs. This is doubly critical in Tampa where:<\/p>\n

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  1. Many homes have reached that important 20+ year milestone<\/a> (especially in Central Tampa). This means you\u2019ll want to ask whether sellers have performed necessary upgrades on big-ticket items like the roof, driveway, windows, seawall, and HVAC so you can properly budget for maintenance expenses<\/a>.<\/li>\n
  2. You\u2019ll face some of the highest homeowners insurance premiums<\/a> nationwide. According to Tampa Consumer Affairs<\/a>, \u201cThe average premium nationally is $1,034 per year, but Florida\u2019s average is 102% higher.\u201d (Note that insurance coverage for older homes generally costs more<\/a>.)<\/li>\n<\/ol>\n

    As you start to get serious about making an offer on any particular home or get under contract with a seller, now\u2019s your opportunity to ask questions and gather up as much information you can about the home. Follow these steps to guide your price negotiations and keep your insurance costs to a minimum.<\/p>\n

    1. Find out the age of the roof and HVAC<\/h4>\n

    As you search for homes in Tampa, your first two questions should always be:<\/p>\n

    * How old is the roof?<\/p>\n

    * How old is the HVAC (heating, ventilation, air conditioning) system?<\/p>\n

    Both the roof and the HVAC will be large expenses<\/a>, so knowing the age of both elements plays a big role in price negotiations. If you\u2019re interested in a home with an older A\/C (8+ years) or roof (15+ years), you\u2019ll want to find out if the seller is open to making physical updates, if they\u2019ll make accommodations in the closing price, or if you\u2019ll need to budget for renovations on your own.<\/p>\n

    \u201cWe\u2019re looking for [the roof age] to be within 20 years,\u201d says Robert Allison of Atlantic Insurance<\/a>, a five star rated independent agency in Tampa. Anything older than that threshold and insurance agencies in Tampa are unable to underwrite the policy.<\/p>\n

    2. See if you can qualify for insurance discounts<\/h4>\n

    To help offset insurance costs, look for discounts. Homes that meet certain storm readiness standards may be eligible for discounts based on their wind mitigation inspection<\/a>.<\/p>\n

    By the way: You\u2019ll need a wind mitigation inspection (separate from the general home inspection<\/a>), which costs around $100.<\/a> The inspector will check for the following items<\/a> and give you a certification to share with your insurance agent.<\/p>\n