August sales may have stumbled but September powered forward with 67% more sales than the 2010 - 2014 September average at an average sale cost per square foot of $686, second best for 2015.  Since bottoming in 2009/2010, Old Town single family sales have been driven by 2bedroom/2bathroom, 3bedroom/2bathroom and 3bedroom/3bathroom homes.  These three home types drove not just September sales, but all the quarter.  A broad buyer base has kept sales up and market watchers continue to exchange stock for titles to Old Town property.  It will take a calamity to derail this 5th straight up year.

The below charts show sales of the seven most popular bed/bath combinations in Old Town Key West from January 1, 2006 to September 30, 2015.

These charts are for single family homes sold south and west of White St. and cover the neighborhoods of 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 after the 2004-2006 real estate Bubble.

• Eight 1Bed/1Bath homes have sold in the Old Town area thru 9/30/2015.
• Average sale price of $526,000 is 18% above the average sale price for 2014.
• In 2014, eleven 1/1 homes sold, the most since 2010! Buyers are very choosey about buying smaller Old Town homes.
• The average size of the eight sold is 740 sq.ft., 19% larger than the 2010 - 2014 average. The average sale price per sqft. of $711 is 18% higher, than the 2010 - 2014 average.

The seventeen 2bedroom/1bathroom homes sold thru September exceeds the 2014 full year total of 14 sold and may surpass the 2013 total of 21 sold.

• Seventeen 2Bed/1Bath homes have sold in the Old Town area thru 9/30/2015.
• Average Sold price of $596,000 is 27% more than 2014 which was 13% more than in 2013.
• Seven 2/1 homes are for sale with prices from $495K to $995K.
• Fifteen 2/1 homes sold in 2011, sixteen in 2012 and twenty-one in 2013 but only fourteen in 2014 so seventeen sales thru September is very encouraging.
• Since 2009, 2Bed/1Bath homes have been the 3rd most popular selling home in Old Town

Thirty-five 2bed/2bath homes sold thru September is the most sold since the 2009 full year total of thirty-nine.

• Thirty-five, 2Bed/2Bath homes have sold in the Old Town area thru 9/30/2015.
• Average sale price of $766,000 is 3% above 2014 and 78% above the low in 2009.
• Thirteen 2/2's are for sale, priced between $375,000 and $1.33M.
• Average sold price per sqft thru September is $650, 13% more than 2014.
• Since 2009, 2Bed/2Bath homes have been the biggest sellers in Old Town Key West.

The average sold price for a 3bed/2bath home in Old Town is 123% above the 2009 low.

• Seventeen 3Bed/2Bath homes have sold in the Old Town area thru 9/30/2015.
• Average Sold price of $1.026,000 is 7% above 2014 which was 30% more than 2013 and is up 123% from the 2009 low.
• Average sold price per sqft. is $667, up 18% from 2014.
• Twenty-one 3/2's sold in 2013 and twenty-seven sold in 2014.
• Since 2009, 3Bed/2Bath homes have been the second biggest sellers in Old Town Key West.

The average sold price for a 3bed/3bath of $1.263M is the highest since 2008.

• Sixteen 3Bed/3Bath homes have sold in the Old Town area thru 9/30/2015.
• Average Sold price of $1.263M is 6% more than 2014 which was 20% more than 2013. Average sold price per sqft. of $697 is 5% more than 2014 and up for the 5th year in a row.
• Twenty-seven 3/3's sold in 2012, the highest recorded, and twenty-six in 2013.
• Since 2009, 3Bed/3Bath homes have been the fourth biggest seller in Old Town Key West

• Five 4Bed/3Bath homes have sold in the Old Town area thru 9/30/2015.
• Average sale price of $1.522M is 12% lower than the 2014 average sold price which was 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.

• Five 4Bed/4Bath homes have sold in the Old Town area thru 9/30/2015.
• Average sale price of $2.132M is 35% above the 2014 average Sold price which was 4% above 2013, and 92% above the 2009 low.
• Average sold price per sqft of $768 is 27% above 2014.
• Since 2003, average number of annual sales is six, with nine sold in 2013 and 10 in 2014.
• Year to year price action is choppy as a limited number of annual sales causes large fluctuations in average sales price.

Summary

The graph above shows a drop in number of properties sold (red horizontal line) and a flat average sales price (red vertical column) for the 3rd Quarter of 2015; yet, as compared to the 3rd Qtrs of 2010 thru 2014, the 3rd Qtr of 2015:

• Exceeded the 5-year average number of properties sold by 31%, and
• Exceeded the 5-year average sold price per square foot by 29%.

The twelve single family homes that sold in Spetember had the second highest average sale price per square feet for 2015 at $686 - a hefty 38% above the 5-year, 2010 - 2014 average for September.

It is interesting to note that while the stock market was flat-to-down for much of the summer, the Key West real estate market stayed strong in both volume and sales price.

Outlook - cautious optimism with a focus more on number of sales than on sale prices.

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

Good luck!