Real Estate Bubble Burst in Tampa Bay Florida? – Unlikely
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By Robert Lipply
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With property
prices seemingly on the rise and
rising quickly in Tampa, there
is a lot of talk about a real
estate bubble in the US and dire
predictions that the so-called
bubble could burst, leading to
a lack of confidence on the part
of investors and people seeking
a second home. But while this
talk of a bubble may be true in
some parts of America, it isn't
justified in Florida, particularly
in the Tampa Bay and Clearwater
areas.
Florida as a whole is enjoying
a rise in property prices which
promises to be a long term trend.
There are many reasons for this.
Demand for real estate in Florida
is increasing. Homes are being
bought for various reasons. Both
American and European holiday
makers view Florida as a premier
summer holiday location and flock
there each summer and historical
evidence suggests that this figure
is rising sharply and is having
a major economic impact on the
region according to VISIT FLORIDA
research.
Historic Visitor Numbers (in Millions)
Year Total
1999 58.9
2000 72.8
2001 69.5
2002 73.9
2003 74.6
2004 79.7
Historic Economic Impact
Total Tourism Spending 1999-2004:
1999 - $44.6 billion
2000 - $48.5 billion
2001 - $48.6 billion
2002 - $49.5 billion
2003 - $51.5 billion
2004 - $57.0 billion
Total State Sales Tax Revenues
from Tourism 1999-2004:
1999 - $2.7 billion
2000 - $2.9 billion
2001 - $2.9 billion
2002 - $3.0 billion
2003 - $3.0 billion
2004 - $3.4 billion
Number of Persons Directly Employed
by Tourism Industry 1999-2004:
1999 - 826,200
2000 - 842,900
2001 - 864,500
2002 - 862,900
2003 - 871,000
2004 - 912,700
This growth in visitors is due
to Florida's many attractions,
many of which are near to Tampa
Bay. The superb beaches, the night
life opportunities, golf and other
sporting opportunities whether
playing or being a spectator,
the theme parks and adventure
worlds, Disney, of course - and
the many areas of unspoiled beauty.
And, if anything, this annual
visitation is set to increase
again as the Super Bowl comes
to Tampa in 2009. This will be
the fourth Super Bowl to be held
in Tampa. This has a dramatic
effect on our area's prosperity.
The increasing economic prosperity
also makes Florida in general
and Tampa Bay in particular a
good place to find a job or start
a business. In 2004, Florida was
ranked #2 as one of the best places
in America for start-ups. More
and more companies are also relocating
their headquarters to Tampa, as
well. Tampa is now being called
the "Gateway to the Florida
High Tech Corridor", because
companies are being offered a
matching grant program that has
generated more than $120 million
in applied research. 225 companies
have already taken advantage of
this.
The area has relatively low real
estate prices and a lower cost
of living and higher employment
statistics compared to the rest
of Florida and to other states
in America, despite recent increases.
The median value for a home in
Florida was $189,500 last year,
significantly less than similar
homes in California where the
median home value was $474,370.
(Source: www.investmentu.com/IUEL/2004/20040927.html
). In Tampa Bay, it was less again.
Florida, including Tampa, also
enjoys the advantage of having
slightly more favorable property
taxes compared with other parts
of the US, no state income tax
and better car insurance rates.
The education system has undergone
considerable improvement over
the past number of years. And
the Tampa area also has some of
the best commute to work times
in the country.
Tampa Bay is perhaps the ideal
place not just for the baby boomer
buying a second house or holiday
home, nor just for the property
investor seeking to increase their
footprint in the holiday rental
market, but also for people starting
out in life or those seeking a
retirement home.
There have been several new developments
in Tampa Bay real estate and Clearwater
Bay real estate holdings; the
plans for developing downtown
Tampa, especially the Rivergate
area, are potentially very exciting
indeed, according to recent articles
in the Tampa Bay Business Journal.
In short, Florida as an area for
either relocation, investment
or a second home is currently
one of the most attractive in
America and likely to remain so
for some time. Due to the recent
economic pressure on the US as
a whole there might be a slight
slow down in terms of escalating
appreciation but Florida remains
a great place to come and a great
place to invest, especially Tampa
Bay real estate and Clearwater
Bay real estate, which are right
in the heart of the potential
growth areas.
No bubbles bursting here, just
opportunities galore!
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Bob Lipply is one of the top real estate
broker associates with Remax
Realtec Group of the Tampa Bay
area. Whether you are thinking
about relocating to the Tampa
Bay Florida area or considering
a second home, him and his team
of experienced agents can help
you find the perfect property.
Visit his website at http://www.lipplyrealestate.com
to search thousands of listings
quickly and easily -- no registration
required. Contact Bob toll free
at 1-888-423-5775.
Article Source: http://EzineArticles.com/?expert=Robert_Lipply
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