Living in a new city can be exciting. There’s so much to see and explore that it’s easy to get carried away with the fantasy of a new life, without carefully planning for it. Tampa is a top city in Florida with a hip social scene, great access to restaurants and nightlife, and plenty of beaches to explore.
Before moving to Tampa, however it’s important to understand how much it will cost to live in this vibrant city from home prices and homeowner expenses to typical costs of living. While a great real estate agent can help you better plan and budget for life in Tampa, it’s important to do your own homework.
This guide will walk you through the average cost of living in Tampa, so you can ensure you can afford your lifestyle in this coastal city.
Typical Home Prices in Tampa in 2019
The real estate market is pretty hot throughout the country right now, and in Florida, the market is going strong with median home values up by 5.5% at $235,900. Generally throughout the state it’s a seller’s market, which means buyers should expect to face strong competition or pay top dollar for homes they really want.
In Tampa, the market tells a much different story, with home values at $218,900, below the statewide median. The market is currently neutral, which is actually great news for buyers, indicating that they’ll be much more likely to find an affordable home in the area.
The current median price of homes listed in Tampa is around $299,000, but the median selling price is much lower, at $266,000. The typical listing price for a 3-bedroom home in Tampa, for instance, is around $285,000, according to May 2019 data from Zillow.
Although the market is neutral right now, there’s a change it could swing in favor of buyers in the coming months, so buyers might want to hold out for 30 to 60 days to see the lowest prices of the year. Tampa’s home prices historically begin to dip in late summer, but a real estate agent who understands the local market can offer better insight on the city’s market trends.
How Much Are Tampa Property Taxes?
Another expense potential homeowners need to take into consideration is property tax. The good news for Tampa home buyers is that property taxes throughout the Sunshine State are generally lower than the U.S. average. Your property tax is determined by two things: the county you reside in (which sets your tax rate) and the overall value of your home.
In Tampa, homeowners with a home valued at $250,000 can expect to pay 1.152% in property tax, which equals $2,880 annually. This is slighter higher than the Florida annual average of $2,750, but lower than the U.S. annual average of $3,028.
You can figure out your estimated property taxes once you understand the general cost of the home you’ll be purchasing. Your buyer’s agent can also help you prepare for your tax expense ahead of time.
Average Homeowners Insurance in Tampa
Unfortunately, homeowner expenses don’t end with mortgage payments and taxes. You’ll also want to estimate the cost of homeowners insurance in your new city. While homeowners insurance isn’t mandatory for all home buyers, it can offer your peace of mind. In addition, some lenders will require a certain level of home insurance to protect their assets.
It’s important to note, the cost of homeowners insurance will vary depending on the provider, your home’s value, and the amount of coverage you’re seeking.
In Tampa, homeowners insurance costs can range from $1,457 to $3,534 for a $200,000 home with a $1,000 deductible and $100,000 liability coverage. It’s a good idea to shop around or ask your agent if they can recommend good insurance providers before deciding on a plan.
Common Home Maintenance and Repair Costs in Tampa
After factoring in typical homeowner expenses, it’s also important to create a budget for home maintenance and repairs. While maintenance costs will vary, depending on your home’s overall condition and the amount of work you plan to put into it, it’s a good rule of thumb to set aside 1% of your home’s value each year for repairs.
That means, if you own a $250,000 home in Tampa, you should set aside $2,500 to be used specifically for repairs. Of course, it’s also important to consider how the weather might impact your home’s condition. Since Tampa is located on the coast, it’s a prime target for flooding, hurricanes, and wind damage.
This type of damage could lead to the need to fix or replace siding, which can cost anywhere between $5,081 to $14,533. Your real estate agent can help provide context on recent storm damages in the area, and can often recommend and insurance agent who offers storm and flood insurance. In many cases, paying for extra insurance coverage could save you thousands if disaster were to strike.
Other Costs of Living in Tampa to Consider
When moving to a city like Tampa, it’s also important to consider the general cost of living within the metropolitan area. Expenses like groceries, healthcare, and utilities can range drastically from city to city, so understanding what you’re likely to pay in Tampa can help you better plan your budget.
In Tampa, the cost of living is slightly over the U.S. average, with housing being the main cause. Healthcare, utility, and miscellaneous costs (like dining and clothing), however, are all slightly under both the state and the country’s averages. Grocery costs are slightly higher than state and country averages, while transportation expenses (including gas) is much higher than the rest of the U.S.
You should also connect with your real estate agent to learn more about any additional city expenses you should factor into your new budget.
Find a Top Tampa Real Estate Agent
Moving to a new city can be stressful, particularly if you’re working alone. Teaming up with an experienced local agent can help make the buying process much easier and can help remove some of the burden from your shoulders. Since your real estate agent will understand the local market, they can offer valuable advice on everything from home value trends to which neighborhoods to buy in.
You can get connected with a trustworthy real estate agent in Tampa through Clever. Clever Partner Agents are top-rated, vetted agents who can offer you on-demand showings to help you view your dream home, fast. In addition, Partner Agents offer $1,000 Home Buyer Rebates distributed to you during closing.
You can find out more by getting connected to a local Clever Partner Agent.