Understanding St. Petersburg's Waterfront Real Estate Market

Understanding St. Petersburg's Waterfront Real Estate Market

  • Carol Fasick Joyce
  • 07/12/22

The St Petersburg waterfront real estate market is buzzing with high investor interest for its numerous luxury properties. The city offers an exceptional range of luxury properties with views of Tampa Bay, Smacks Bayou, Vinoy Park, the Treasure Island Causeway, and Vinoy Basin.

The St. Pete beach homes for sale are in high demand because residents love the city for its sunshine, sports and outdoor activities, and various neighborhoods with waterfront properties. For example, Snell Isle boasts waterfront villas and condominiums, Caya Costa is an in-demand gated community to the northeast of the city, and the Yacht Club Estates is a high-end family-oriented community with stunning waterfront lots.

The St. Petersburg Waterfront Real Estate Market

The Florida real estate market is susceptible to economic crises such as the 2008 recession or the 2020 COVID-19 pandemic. However, it has always bounced back with minimal impact on luxury housing prices. St. Petersburg is a suburb that manages to hold its own regarding real estate demand and pricing. Furthermore, Florida's highly developed tourism industry is essential in helping the real estate market revive and thrive.

The St. Petersburg waterfront real estate market grew exponentially in the last decade since the previous economic recession. Today, it boasts some of the highest home appreciation rates nationwide, securing a top ten spot nationally.

Since the early 2010s, St. Petersburg housing prices have grown steadily annually. In addition, the fantastic weather and sandy beaches have attracted more people to the area. Aside from snowbirds and retirees, millennials have also moved into the city.

The increased attention from home buyers and investors led to a significant housing demand that keeps St. Petersburg a hot seller's market. The lack of housing units for the growing demand has also led to new housing developments.

However, the area does not have any more space available for building thanks to its location on the Pinellas peninsula, surrounded by water on most sides. As a result, developers have turned to building luxury condominiums and multi-family units.

Still, the biggest demand remains in single-family homes, which cover 56% of the total units in the city. So whether you are looking for a holiday home, a family home, or an investment property, St. Petersburg is the perfect place.

Additionally, there is a sizable difference in price, access, and maintenance between purchasing inland and waterfront property. Waterfront property is more expensive because it has direct water access with a private dock and paths leading to the home. It should not be confused with a property with water views that has no direct water access.

There are many St. Pete's beach waterfront homes for sale in the area, and Dynasty Group LLC Realty can help you find the right one.

The St Petersburg, FL, Renting Market

St. Petersburg is the second-most populous city in the Tampa Bay area and the fifth in Florida. Therefore, it has a growing number of residents who prefer to rent rather than buy. The trend is perhaps due to the ever-increasing Millennials population moving into the area but who are less likely to put down roots early. Some don't wish to get tied to one place, while others cannot afford to buy a home.

Still, some prefer to rent first whenever they move to a new city, deciding whether to settle in the area. Others prefer to figure out the best neighborhoods to settle in and build a life before investing. Therefore, the large number of renters makes the St. Petersburg real estate market ideal for investing in rental properties like luxury condominiums.

Additionally, the warm St. Petersburg weather attracts visitors during winter because sunshine bathes the area nearly all year long. Therefore, the city's renting market is kept busy by vacationers and snowbirds throughout the year. Many vacationers rent condos in the city during spring break and sometimes throughout summer. As a result, they don't have to deal with property maintenance and other homeownership issues.

Landlords benefit from short-term rentals without worrying about too much maintenance. Renters come with the seasonal crowds to find ready-to-accommodate units. In addition, St. Petersburg landlords and real estate investors create wealth in the long term as their properties grow in value because properties in the city have a higher resale price.

Why Live in St Petersburg, FL?

Living in St. Petersburg is similar to living in Tampa Bay but has better sandy beaches, restaurants, and a nightlife atmosphere. The city is smaller than Tampa providing a great mixture of urban and suburban life. The area is famous for golfing, fishing, boating, and other watersports.

The best neighborhoods in St. Pete include:

  • Boca Ciega Bay
  • Snell Isle and Rivera Bay
  • Historic Kenwood
  • Old Northeast
  • Downtown St. Petersburg
Below are some reasons to live in St. Petersburg:

1. The Weather

St Petersburg holds the Guinness world record with an impressive 768 consecutive days of sunshine, earning it the title "the sunshine city." The city has excellent weather with cloudless summers perfect for spending time at the beach.

2. Beautiful Beaches

Among the city's biggest attractions are the sandy beaches. They are the perfect getaway location for vacationing families and couples. The city's award-winning beaches are famous for their amazing locations and silky white sands. If you are lucky, you may stumble into a patch of land with beautiful palm trees, hammocks, and kayaks for entertainment.

The presence of places like Fort De Soto means you get to spend long weekends sunbathing in the sun with a cocktail in your hand and sand between your toes. Famous beaches include St. Pete Beach, Sand Key, and Clearwater Beach.

3. Affordable Cost of Living

Living in St. Petersburg is affordable, unlike other Oceanside cities with high living costs. Housing expenses are lower than the Florida and national averages. Florida is also a no-income-tax state, an added benefit, while entertainment and restaurants are less expensive than in other similar cities. Therefore, the area has the perfect conditions for investors looking for a rental market.

4. A Green City

St. Petersburg is Florida's first designated green city. It has dedicated resources to green living and sustainability, having transitioned to clean and renewable energy. The city has plans for complete sustainable living for all residents. In addition, it has added programs promoting water conservation, tree planting, earth-friendly recycling, estuaries preservation, and the use of fuel-efficient technologies.

5. Accessibility

St. Petersburg has a grid format designation, making it easy to navigate or get around. It is near Interstate 75 and Interstate 275, giving residents easy access to the gulf coast. Additionally, St Pete is 35 minutes from Tampa and two and a half hours from Orlando. It is also close to St Pete-Clearwater International Airport.

6. Sports and Outdoor Activitiese

Locals live and breathe sports and outdoor activities. The Tampa Bay area has practically every sports team to support, including:

  • Soccer – Tampa Bay Rowdies
  • Major League Baseball – Tampa Bay Rays
  • Hockey – Tampa Bay Lightning
  • National Football League – Tampa Bay Buccaneers
St. Petersburg has plenty of outdoor activities other than relaxing at the beach. For instance, the city has 150 parks and over 40 miles of trails for biking. It also has 130 miles of bike lanes to encourage biking and spending time outdoors. Other activities include kayaking, paddle boarding, golfing, and fishing.

7. Events

St. Petersburg has numerous local restaurants, boutiques, shops, breweries, and other small businesses. It also hosts annual events and festivals, including:

8. Food and Cuisine

St. Petersburg's culinary scene is full of freshly caught Gulf Coast seafood with internationally-influenced flavors. The city also has several beach cafes, alfresco eateries, high-end restaurants, and award-winning street fare. Some popular food destinations include:

Why Invest in the St. Petersburg Waterfront Real Estate Market?

According to the National Association of Realtors or NAR, St. Petersburg had a 28.8% year-over-year gain from 2021 to 2022. In addition, the top ten areas with the highest price gains were small and mid-sized markets, with half located in Florida.

Even if the city's market numbers slow down in the future, the real estate market will maintain a year-over-year increase. The past decade shows that the Florida real estate market is reliable.

A recent Magnify Money study revealed that the cost of renting an apartment went up 15.5% year over year. This shows that the city's rental market is strong, with high returns for investors and property owners.

Why Hire Carol Fasick Joyce Realtor?

Are you interested in buying the best luxury beach homes St. Petersburg, FL, offers? Carol Fasick Joyce, a real estate agent from the Dynasty Luxury Group, has your back for the best investment property in the region. We specialize in luxury waterfront and residential properties in the Tampa Bay area and keep a complete home listing for St. Petersburg.
Additionally, we have a vast personal network of relationships and clients. Additionally, Coldwell Banker's domestic and international reach provides us with unparalleled worldwide access when selling and buying luxury properties. Contact us today!

Work With Us

The Dynasty Group’s professionals offer their clients white glove, concierge level sales, marketing, and buying services. We specialize in luxury residential and waterfront properties in the Tampa Bay area and are honored to be representing some of the finest New Construction Home builders in the state of Florida. The Dynasty Group’s personal network of clients and relationships combined with Coldwell Banker’s Global Luxury domestic and international reach provides unparalleled worldwide access when buying or selling Luxury properties. We know that the sale or purchase of your home is oftentimes the most important financial decision you will make, and we are here to assist you every step of the way with our skills, experience, and dedication, combined with the highest ethical standards. You are in the very best of hands with the Dynasty Group.

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