You must have heard about the potential that Tampa offers as a real estate investment location. It has been ranked as a leading market in the nation thanks to its vibrancy, appreciation, and potential for residential & commercial developments. In this article, the team from Dennis Property Management outlines the reasons why you should consider Tampa.
A Stable and Vibrant Economy
The performance of property as an investment is a product of the performance of the local and regional economy. This is because of demand, purchasing power, and the health of the rental market. In a stable and vibrant economy, your potential renters will have well-paying jobs that will allow them to comfortably pay rent, giving you a steady return for your property business.
Tampa has been enjoying stable economic growth over the years. With companies such as Johnson and Johnson & Amgen employing many, job growth has been on an upward trend. This is a positive sign for potential real estate investors in the Tampa real estate market. In addition, the medical industry has been growing steadily. As such, experts are seeing a lot of interest in this particular industry, attracting hundreds of educated residents, and therefore potential renters, from out-of-state to the Tampa Bay region.
Wide Range of Property Options
During your research into the various real estate markets, you must have noted the pricing of various options in different locations. Real estate is one of the most capital-intensive assets in any country. In the United States, you are bound to spend hundreds of thousands of dollars to be secure an investment in an active housing market.
Tampa gives different options for various investors. For the first-time investor looking for a more affordable option, Tampa, Florida is the best place to be. Compared to other competitive markets, you will be able to afford a property investment here and enjoy all the perks that come with ownership and leasing.
For investors with more upfront capital, you can invest in luxury residences, single-family residences, and multi-family options. Tampa has a broad range of property options to match the needs of every investor possible within the housing market.
The Demand for Single-family Residences
While the Tampa Bay area enjoys stable demand for every residential sub-market, there is one that has stood out from the rest; single-family residences. A variety of tenants love to lease these kinds of spaces in the area. This can be attributed to its ideal location, good weather, stable economy, and other pertinent factors. The demand for single-family residences is also affected by the dynamics of demand and supply of the Tampa housing market.
Opportunities in Downtown Tampa
The downtown area in Tampa, Florida has undergone significant updates and redevelopment with billions of dollars put into the effort. Of notable mention is the Water Street Tampa. This is a multi-block development which is estimated at USD 3 billion, which is a thriving part of the Tampa Bay market.
Another massive development is a new College of Medicine developed by the University of South Florida. This presents a unique investment opportunity for the investor who would wish to invest in student housing/ accommodation. You will enjoy stable demand from the thousands of students who attend the university throughout the academic year.
The redevelopment of the area has and will continue to create a diverse community with both commercial and residential real estate investment options. What has attracted potential investors to the area is the plethora of social amenities and attractions available in rental properties.
Investment Property Appreciation
There are several benefits to real estate investing in Tampa's real estate market. Experienced investors in the property market will talk about the stable flow of rental income, the tax advantages, and how real estate serves as a shock absorber of economic shocks. Another important advantage of real estate investment is investment property value appreciation.
Over the past decade, the Tampa real estate market has enjoyed varying rates of value appreciation. Some of the most active and prime markets have enjoyed double-digit appreciation in value. This means that in addition to the income generated from tenants’ rental payments, you’ll be able to see long-term gains.
Understanding market changes to maximize your returns can be daunting. Thankfully, our property experts at Dennis Property Management can help you analyze the market and advise on which markets will give you the best advantage.
Landlord-Friendly
Along with all the above reasons why you should invest in Tampa, a key factor is the friendliness of the local landlord-tenant laws. Compared to other states and local jurisdictions, Tampa property laws and rules are set up in favor of the landlord.
A good example is rent control laws. Florida doesn’t have such a law in place that can significantly limit the potential of a landlord and possibly damage your return on investment. The state also doesn’t have any restrictions on security deposits. This means that you can protect your interest and feel secure when leasing your rental unit to a tenant.
Bottom Line
With its beautiful weather, vibrant economy, wide range of investment options, and landlord-friendly atmosphere, Tampa is one of the ideal places to start or expand your property investment portfolio, whether its close to Tampa International Airport or Tampa Bay. That said, choosing to become a property investor is a key decision. Property is a localized asset and requires one to do significant research before investing heavily in it. To be well-informed about the goings of the Tampa market, get in touch with the experts at Dennis Property Management.
We are the leading property experts in the Tampa property market having helped a wide range of clients. Dennis Property Management has happy clients in Pasco, Pinellas, Hillsborough, and Hernando Counties. Get in touch with us today to hear about the wide range of solutions and services that we offer!
