Posted: Apr 03, 2022
Key West Old Town Home Sales 1st Qtr 2022

Twenty-four single family homes sold in the Old Town area in March, bringing the 1st Qtr total of sales to 53, 2nd highest ever behind 1st Qtr 2021 (71). These 53 sales topped the 5-year (2017-2021) average of sales for the 1st Qtr by 33%. On Prices, the average sold price for the 1st Qtr of $1.74M was the highest ever for a 1st Qtr (1st Qtr 2021 average sold price was $1.65M) and the 3rd highest Qtr ever. Of note, March had the highest average sold price for any month ever at $2.14M. The average sold price per square foot for the 1st Qtr hit $1110, highest ever and up 16% YTD.

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The below charts show sales of the seven most popular bed/bath combinations in Old Town Key West from January 1, 2013 to March 31, 2022. When there is a difference between total home sales and the sum of sales in the below seven charts it is because of a sale of, for instance, a 2bed/3bath or 3bed/1bath house or a house with more than four bedrooms.

 

These charts are for single family homes sold south and west of White St. and cover the six neighborhoods of The Meadows, Old Town North and South, Bahama Village, Truman Annex and Casa Marina but not Sunset Key.  You can view a map of the six neighborhoods of Old Town here.  An analysis of the number of sales and sale prices for each of these six neighborhoods for all of 2021 is here.

1 Bedroom/1 Bathroom

  • Three, 1Bed/1Bath homes have sold in the Old Town area thru 3/31/2022. The average number of days to sell is 106 days.
  • The 2022 average sale price of $1,325,000 is up 98% over 2021 and is 533% above the 2011 low.
  • Eight homes sold in 2021, ten homes in 2020.
  • The average size of the 2022 homes sold is 797 sq.ft., well above average.
  • The average sale price per sqft. of $1550 is up 43% over 2021 and is the highest ever.

2 Bedroom/1 Bathroom

  • Two, 2Bed/1Bath homes have sold in the Old Town area thru 3/31/2022. In 2021, eighteen homes sold at an average of 36 days to sell.
  • The 2022 average sold price is $825K. The 2021 average Sold price was $830,000, up 32% over 2020. The $825K is 148% above the 2011 low.
  • The sold price per square foot in 2022 of $1248 is up 47% over 2021 and is the highest ever.
  • One 2/1 home is for sale at $750K.
  • Eighteen 2/1 homes sold in 2021, eight in 2020.
  • Since 2009, 2Bed/1Bath homes have been the 3rd most popular selling home in Old Town with 231 sales

2 Bedroom/2 Bathroom

  • Eighteen, 2Bed/2Bath homes have sold in the Old Town area thru 3/31/2022. The average number of Days to sell is 28 Days. 43 homes sold in 2021 at an average of 58 Days.
  • The 2022 average sold price of $1.193M is identical to 2021's and is the highest ever average sold price.  $1.193M is 181% above the low in 2009.
  • Four 2/2's are for sale, priced between $1.1M and $1.5M.
  • The 2022 average Sold price per sqft is $1095, up 13% over 2021.
  • Since 2009, 2Bed/2Bath homes have been the biggest sellers in Old Town Key West with 410 sales

3 Bedroom/2 Bathroom

  • Ten, 3Bed/2Bath homes have sold in the Old Town area thru 3/31/2022. The average number of Days to sell is 16 Days.
  • The average Sold price of $1.72M is up 27% over 2021 and is the highest ever for a 3/2 home. The $1.72M is 273% above the 2009 low.
  • The average sold price per sqft. is $1112, up 19% over 2021.
  • Forty-five 3/2 homes sold in 2021, the most ever.
  • Since 2009, 3Bed/2Bath homes have been the 2nd biggest sellers in Old Town, exceeding twenty sales every year since 2013 except in 2016. Total sales since 2009 is 316 sales.

3 Bedroom/3 Bathroom

  • Seven, 3Bed/3Bath homes have sold in the Old Town area thru 3/31/2022. The average number of Days to sell is 47. In 2021, 41 homes sold, the most ever, at an average of 96 Days.
  • The 2022 sold price of $2.51M is up 40% over 2021 and is 240% above the 2010 low.
  • The average Sold price per sqft. of $1273 is up 27% over 2021 and is the highest ever recorded for 3/3 homes.
  • Forty-one homes sold in 2021, nineteen homes sold in 2020.
  • Since 2009, 3Bed/3Bath homes have been the fourth biggest seller in Old Town Key West with 266 sales.

4 Bedroom/3 Bathroom

  • Four, 4bed/3bath homes have sold in the Old Town area thru 3/31/2022 at an average of 62 Days to sell. In 2021, 14 homes sold at an average number of days to sell of 95 Days.
  • The 2022 average sold price is $2.62M, up 10% over 2021 and is 210% above the 2009 low.
  • There are three homes for sale, priced from $2.7M to $4.7M.
  • The 2022 average sales price per sqft of $1280 is up 27% over 2021 and is the highest ever.
  • Number of sales and sales prices for 4Bed/3Bath homes is very choppy though there has been an erratic up trend in average sale price since 2013.

4 Bedroom/4 Bathroom

  • Three, 4Bed/4Bath homes have sold in the Old Town area thru 3/31/2022. Average umber of Days to sell is 50 Days. In 2021, 18 homes sold, the most 4/4's solds EVER.
  • The 2022 sold price of $2.1M is down 17% from 2021 and is up 80% over the 2009 low.
  • The 2022 sold price per sq.ft. of $734 is down 23% from 2021.
  • Since 2003, the average number of annual sales is six, with eighteen in 2021, two in 2020 and five in 2019.  Despite the choppy number of sales, price action has been steady between $2.1M - $2.5M.

Summary

 

At no time during the 1st Qtr 2022 were there more than 30 single family homes listed for sale in the MLS. Normal monthly inventory for the 1st Qtr is 120+.  Even so, the 1st Qtr recorded:

 

  • The highest monthly average sale price ever (March at $2.14M)
  • The 3rd highest quarterly average sale price ever ($1.74M)
  • The highest quarterly average sales price per square foot ever ($1110)
  • The lowest average number of Days on Market for all sales ever (50 Days)
  • A record 55% of all sales were in Cash

 

There are twenty-four single family homes listed in the MLS for sale; three under $1M, eight between $1 - $2M, six between $2 - $3M and seven over $3M.

Conclusion

 

Only twice in the previous twenty years has there been this much fervor in the Old Town Key West market; 2004 - 2005 when properties were bought by investors with cheap financing and flipped and in 2014 - 2015 when the market regained its footing after the 2005 - 2006 collapse. Then what is the major difference in today's market - it is the quality of Buyer.  Who are today's Buyers in Old Town Key West?

 

  • Buyers are buying to hold high value real estate for the medium to long term in their diversified portfolio of investments.
  • Buyers are buying to have a getaway vacation/second home in the US to which they can easily fly.
  • Buyers are opting for a small town environment that is safe, respectful and offers a reasonable quality of life.
  • Buyers are transferring their residency from high tax states to low tax states.

 

But most of all, better Buyers have the Cash to make their purchase or are qualified in both verifiable income and credit score to finance their purchase.  Should there come an economic crunch or crash, Buyers of Key West real estate over the past five years overwhelmingly will not bail or default, aka a reliable property tax base for the financing of the City of Key West.

 

If you have any comments or questions, please contact me here.

 

Good luck!