If you’re thinking about buying a home in Tampa and you’re in a position to pay cash, first of all — congratulations. That’s a powerful place to be.
We’re Emeri and Joe Lewkowicz of The Lewkowicz Group, and with more than 40 years of combined experience helping buyers, sellers, and investors across Tampa Bay, we’ve seen just about every financing scenario you can imagine. One question we get more often than ever is:
“Should I pay cash, or should I finance?”
The answer? It depends on your goals. Let’s break down the financial pros and cons so you can make the smartest move for your situation.
The Financial Pros of Paying Cash
1. Stronger Negotiating Power
In Tampa’s competitive market — especially in sought-after neighborhoods like South Tampa, Carrollwood, and parts of Seminole Heights — cash is king.
Sellers love cash offers because:
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No lender approval risk
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No appraisal contingency (in many cases)
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Faster closing
In multiple-offer situations, we’ve seen cash buyers win — even when they weren’t the highest offer. That certainty matters.
2. Faster Closings
A financed purchase can take 30–45 days (or longer). A cash deal? We’ve closed in as little as 7–14 days.
For investors looking to secure off-market deals or buyers relocating to Tampa quickly, that speed can make a real difference.
3. No Mortgage Interest
This is the big one.
With interest rates fluctuating over the last few years, financing a $700,000 home could cost hundreds of thousands in interest over 30 years. Paying cash eliminates:
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Interest payments
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Loan origination fees
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Private mortgage insurance (PMI)
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Lender-related closing costs
That’s immediate, guaranteed savings.
4. Monthly Cash Flow Advantage (For Investors)
If you’re buying a rental property in Tampa — whether long-term or short-term (where allowed) — owning it free and clear dramatically improves your monthly cash flow.
No mortgage means:
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Higher net rental income
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Lower risk during market shifts
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Greater flexibility with pricing
In a market like Tampa, where rental demand remains strong, that can be a powerful wealth-building strategy.
The Financial Cons of Paying Cash
Now let’s talk about what most people don’t consider.
1. Opportunity Cost
This is the biggest financial trade-off.
If you tie up $800,000 in one property, that’s $800,000 you’re not investing elsewhere. Depending on your investment strategy, that capital might earn more in:
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The stock market
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Private investments
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Business ventures
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Multiple rental properties
For many of our investor clients, leverage (using financing) allows them to buy more properties instead of just one.
2. Reduced Liquidity
Real estate is not liquid.
If you need access to cash quickly, selling a home takes time. Yes, Tampa is a strong market — but it’s not instant. Financing keeps your capital more accessible.
We often advise clients to keep a healthy liquidity buffer, especially if:
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You’re self-employed
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You own multiple investment properties
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You’re nearing retirement
3. Loss of Mortgage Interest Tax Benefits
Depending on your financial situation, mortgage interest may be tax-deductible. Paying cash eliminates that deduction.
Now — and this is important — tax benefits should never be the sole reason to carry debt. But for high-income buyers, this can factor into the decision. Always consult your CPA before deciding.
4. Lower Leverage = Slower Portfolio Growth (For Investors)
If your goal is portfolio expansion in Tampa’s growing market, financing may allow you to:
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Buy two or three properties instead of one
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Increase long-term appreciation potential
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Spread risk across multiple assets
We’ve helped many Tampa investors strategically use financing to scale faster — especially in emerging neighborhoods where appreciation potential is strong.
So… Should You Pay Cash in Tampa?
Here’s what we tell our clients:
Paying cash is fantastic if:
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You want simplicity and peace of mind
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You’re risk-averse
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You’re buying a primary residence long-term
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You value guaranteed interest savings
Financing may be smarter if:
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You’re focused on leverage and scaling
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You want to preserve liquidity
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Your investments earn higher returns elsewhere
In Tampa specifically, cash gives you a competitive advantage — but strategy always wins over emotion.
Every buyer’s situation is different. Your age, income, investment philosophy, risk tolerance, and long-term goals all matter.
Our Advice After 40+ Years in Tampa Real Estate
The smartest buyers don’t just ask, “Can I pay cash?”
They ask, “Should I?”
At The Lewkowicz Group, we walk our clients through the numbers — not just the surface-level pros and cons, but how the decision impacts your overall wealth strategy.
Tampa continues to grow. Population migration, job expansion, waterfront demand, and lifestyle appeal all keep this market dynamic. The key is aligning your financing decision with your long-term vision.
If you’re considering buying in Tampa — cash or financed — we’re here to help you make the move strategically.
Because in real estate, the right structure can be just as important as the right property.
