Thru 28 February 2013 only seventeen single family homes had sold in the Old Town area of Key West. As of 30 April 2013, that number has risen to sixty-six! Thru 28 February, of the seventeen sold, four were for $1M or more. As of 30 April that number had risen to fifteen. Within these sales figures, larger homes continue to drive sales. Large two bedroom and three bedroom homes remain 41% to 47% below their 2005/6 peaks but with prices in their 4th year of recovery, buyers see large homes as bargains. Of note, six of the seven house categories are taking longer to sell. Is there a coming impasse on price?
The below charts show sales of the seven most popular bed/bath combinations in Old Town Key West from January 1, 2000 to April 30, 2013.
The graphs here are for single family homes 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 after the 2004-2006 real estate Bubble.
Three,1Bed/1Bath homes sold in the Old Town area thru 4/30/2013. The average Sold price of $380,000 is the highest since 2007 (notwithstanding the $1M sale in 2012 (a large Old Town lot came with sale)). Inventory of 1/1 homes is down as many were bought in the early 2000's and upgraded to 2 Bed homes. Sellers of unimproved homes have not discounted fix-up costs. Also, first-time buyers have turned away from small Old Town homes, buying elsewhere or renting. Average number of days to sell is up 27% over 2012 to 300 days.
Eight, 2Bed/1Bath homes sold in the Old Town area thru 4/30/2013. The average Sold price of $379,000 is 3% more than 2012. Price per sqft. of $456 is 17% above 2012 yet only the 2nd increase since 2005. Eleven 2/1 homes are for sale with prices up to $769,000. Sixteen, 2/1 homes sold in 2012, so eight Sold and eleven in the pipeline bode well for 2013 sales of the 3rd most popular home in Old Town. Average number of days to sell is up 22% over 2012 to 201 days.
Twelve, 2Bed/2Bath homes sold in the Old Town area thru 4/30/2013. (Six in April) The average Sold price of $560,000 is 8% less than 2012 but clearly continues the upward recovery began in 2010. Price per sqft is $468, 8% less than 2012. Twenty-eight, 2/2 homes sold in 2012, the second highest since 2004. 2Bed/2Bath homes are the biggest sellers in Old Town Key West. Average number of days to sell fell 15% to 128 days.
And the winners are ... Three bedroom homes
Eleven, 3Bed/2Bath homes sold in the Old Town area thru 4/30/2013. (Six in April).The average Sold price of $596,000 is 1% more than 2012 and is up 29% from the 2009 low. The price per sqft. of $445 is the highest since 2007. Eighteen 3/2's sold in 2012 so eleven sales thus far is a good sign. The ten for sale offer a wide range of price and matching quality. Average number of days to sell increased 39% to 260 days.
FIFTEEN, 3Bed/3Bath homes sold in the Old Town area thru 4/30/2013. (Six in April). The average Sold price of $958,000 is 2% more than 2012 and 26% above the 2010 low. The price per sqft. of $515 is 3% above 2012 and 10% above the four year (2009-2012) average of $467. Twenty-seven 3/3's sold in 2012, the highest recorded. Sixteen of the seventeen 3/3's for sale are $1M+. Average number of days to sell is up 21% to 164 days.
Two, 4Bed/3Bath homes sold in the Old Town area thru 4/30/2013. The average Sold price of $908,000 is 26% less than 2012 but price per sqft. increased 16% to $543. This is the only Bed/Bath configuration to show declining prices. HOWEVER. The twelve sales in 2012 was the highest since 2008 and the eight homes for sale have a wide price range for value conscious buyers. Average number of days to sell is up 18% to 171 days.
Five, 4Bed/4Bath homes sold in the Old Town area thru 4/30/2013. The average Sold price of $1.637M is 83% above 2012 and 20% more than the 10-year average. The average cost per sqft of $574 is 48% more than 2012. The average size was 2851 sqft, the largest recorded. Since 2003 the average number of sales is six homes, so five sold thus far bodes well for sales. The average number of days to sell is up 57% to 176 days.
Perspective
Sales figures show a clear recovery since 2010 and while inventory remains tight, rising prices have brought some sellers back to market. Still, the Key West Buyer, while generally not dependent on income for wealth, is a strategic Buyer and requires properly priced property.