PINELLAS COUNTY, Fla. — As a renowned destination, the Tampa Bay area draws many seeking to establish their roots and own a home. Despite its appeal, many local residents are finding it increasingly difficult to afford a home in this sought-after location.

ABC Action News Anchor Lauren St. Germain explored this issue through a conversation with Stela Bermema, a local resident grappling with the challenging housing market. "It's really tough on all fronts," Bermema explained. She and her husband are not only searching for their own home but also a condo for her elderly parents, adding complexity to their situation.

"The dream of moving into a home with my husband is intertwined with my desire to be near my parents as they age," Bermema said. Despite using advanced online tools like Zillow and Realtor.com, the couple finds the market prohibitive due to high prices and escalating interest rates.

In her report, St. Germain also spoke with Liane Jamason, a licensed real estate broker, who noted a significant 8% drop in home sales in the area, primarily attributed to the higher interest rates. "Many potential sellers are holding off, hoping for a decrease in rates," Jamason observed.

However, Jamason also highlighted some positives. "While prices are still inching up, the market has stabilized somewhat compared to the frenzied state of 2021, where homes often sold for well over the asking price," she explained. This slower pace might enable buyers to negotiate better deals, such as having sellers cover some closing costs.

Bermema reflected on how the market has evolved, expressing regret over not purchasing earlier when prices were more affordable. "Those of us who remember the lower prices of the past can't help but feel we missed an opportunity," she remarked.

Looking forward, the market may see an increase in listings by spring, offering hope for buyers like Bermema. Moreover, Federal Reserve Chair Jerome Powell has signaled potential interest rate cuts three times this year, starting as early as May, which could make home buying more accessible for many. This anticipated adjustment in rates might provide a much-needed boost to the housing market in Tampa Bay.