Buyer or Seller’s Market? Zillow’s Rating for Tampa

Zillow economists use an economic model known as the Zillow Market Heat Index to gauge the competitiveness of housing markets across the U.S.

Let’s see where Tampa stands in the latest report, and what it could mean for you.

WHAT IS ZILLOW’S MARKET HEAT INDEX?

This model evaluates home price changes, inventory levels, and days on market to generate a score indicating whether a market favors sellers or buyers. 

According to Zillow: 

70+ = strong sellers market

55-69 = sellers market

44-55 = neutral market

28-44 = buyers market

27 or below = strong buyers market

Higher scores point to hotter, seller-friendly housing markets. Lower scores signal cooler markets where buyers hold more negotiating power.

Tampa’s current score: 42, placing us in buyers market territory.

For context, the national average is 52, with certain areas in the Northeast still experiencing strong sellers markets, such as in New York, Connecticut, Massachusetts, and Rhode Island.

WHAT DOES THIS MEAN FOR ME?

Zillow’s data and predictions are not the end-all-be-all. This is simply an additional data point for us to consider when evaluating Tampa’s housing market. 

And while the pace of the housing market has certainly slowed compared to recent years, homes are still selling everyday, and there’s light at the end of the tunnel. 

• Right now, markets are watching the Federal Reserve closely. There’s a 94.4% chance of an interest rate cut at the next FOMC meeting in September, with strong expectations for further cuts in the months ahead.

• All forecasts suggest a gradual decline in mortgage rates through 2026, with expectations falling between 5.8% to 6.3% by year-end.

• Lower rates could bring a wave of buyers back into the market, boosting demand and potentially lifting home values.

SMART SELLERS GET AHEAD

Curious what your home could sell for in today’s market? Simply reply to this email and I’ll walk you through exactly what you can do to maximize the value of your home. Completely for free, no strings attached.

Best,