Sales of single family homes in Old Town Key West continue their record pace of number sold and rising sale prices with each major bed & bath configuration moving higher through October 2014. Only larger four bedroom homes failed to make a sale in the month. Larger three bedroom homes continue to dominate in sales plus buyers continue to pay premiums for renovated homes in move-in condition. Several factors point in a positive direction for Key West real estate; ninth consecutive year of no hurricanes, aggressive flood mapping efforts by FEMA focused at resolving unknowns associated with flood insurance premiums, stable inflation, a rising dollar, low interest rates and the end of bond buying by the Federal Reserve all of which creates confidence.
The below charts show sales of the seven most popular bed/bath combinations in Old Town Key West from January 1, 2006 to October 31, 2014.
These charts are for single family homes sold south and west of White St. and cover the neighborhoods the Meadows, Old Town, Truman Annex and Casa Marina but not Sunset Key. You can view a neighborhood map here. The seven bed/bath combinations below contain enough sales to measure and evaluate trends before, during and after the 2004-2006 real estate Bubble.
Ten, 1Bed/1Bath homes have sold in the Old Town area thru 10/31/2014, the most since 2010! One is a genuine one-of-a-kind home surrounded by a 10,000 sqft tropical rain forest in the middle of Old Town; hence its sale price of $1.24M! Buyers are very choosey about buying small Old Town homes. The average price of the five 1/1's for sale is $471,800 with an average price per square foot of $731, well above the 2009 - 2013 average of $541.
Eleven, 2Bed/1Bath homes have sold in the Old Town area thru 10/31/2014. The average Sold price of $471,000 is 14% more than in 2013. Price per sqft. of $531 is up 21% over 2013 which was 13% over 2012. Ten 2/1 homes are for sale with prices up to $799,000. Fifteen 2/1 homes sold in 2011, sixteen in 2012 and twenty-one in 2013 but only ten thru October! Overpriced? Since 2009, 2Bed/1Bath homes have been the 3rd most popular selling home in Old Town.
Two bedroom two bathroom homes selling at 79% above the 2009 low.
Twenty-three, 2Bed/2Bath homes have sold in the Old Town area thru 10/31/2014. The average sale price of $783,000 is 35% above 2013 and 79% above the low in 2009. There are seventeen 2/2's for sale, priced between $475,000 and $1.119M. Average price per sqft of these seventeen is $590, 32% more than the five year average of $470 per sqft. Since 2009, 2Bed/2Bath homes have been the biggest sellers in Old Town Key West.
Three bedroom two bathroom homes selling at 96% above the 2009 low.
Twenty-two, 3Bed/2Bath homes have sold in the Old Town area thru 10/31/2014. The average Sold price of $902,000 is 22% more than 2013 which was 25% more than 2012 and is up 96% from the 2009 low! The average sold price per sqft. is $528. Eighteen 3/2's sold in 2012 and twenty-one sold in 2013. The eleven presently For Sale offer a wide range of price and matching quality. Since 2009, 3Bed/2Bath homes have been the second biggest sellers in Old Town Key West.
Three bedroom three bathroom homes selling at 68% above the 2010 low.
Twenty, 3Bed/3Bath homes have sold in the Old Town area thru 10/31/2014. The average Sold price of $1.24M is 23% more than 2013 and is 69% above the 2010 low. The average sold price per sqft. of $665 is 24% more than 2013 and 49% above the 2009-2013 average. Twenty-seven 3/3's sold in 2012, the highest recorded, and twenty-six in 2013. There are eleven 3/3's For Sale from $659K to $3.975M. Since 2009, 3Bed/3Bath homes have been the fourth biggest seller in Old Town Key West.
Four, 4Bed/3Bath homes have sold in the Old Town area thru 10/31/2014. The average Sold price of $1.723M is 59% more than the average Sold price for 2013. This Bed/Bath configuration has yet to solidly reverse price decline. HOWEVER. The twelve sales in 2012, the highest since 2008, and eleven sales in 2013, with a climbing average sales price per square foot, shows strength. There are nine 4/3's For Sale priced between $1.2M and $2.6M.
Ten, 4Bed/4Bath homes have sold in the Old Town area thru 10/31/2014. The average Sold price of $1.577M is 4% above 2013, 13% above the 10-year average and 42% above the 2009 low. The average sold price per sqft of $606 is 6% above 2013 which was 47% more than 2012. Since 2003 the average number of annual sales is six, so nine sold for 2013 was excellent. Year to year price action is choppy as a limited number of annual sales causes large fluctuations in average sales price.
Conclusion
Boomers continue to reward themselves and their families by purchasing second homes in Old Town. Homes well renovated or restored according to Historic Preservation standards are receiving the best sales prices.
Additionally, the international buyer is venturing away from Miami, seeing Old Town as a friendly, safe, walkable and bikeable home away from home. Also too, many foreign buyers come to Key West well versed in the Engel & Voelkers brand and standard of excellence.
With 550 offices in 38 countries on 6 continents, Engel & Voelkers is engineered to provide the broadest and deepest exposure of your property to US and foreign buyers. More exposure = more offers = more money for your property and you.
If you have any comments or questions, please contact me here.
Good luck!