Key West Real Estate Trends: Hotter Than The Summer Heat

October 3rd, 2012

Here are some quick points from Laurie McChesney that illustrate the Key West Real Estate Trends over the past few months:

1. Long and Short-Term Rental properties remain in high demand
2. Key West Real Estate listed under $400,000 often receives multiple offers
3. Buyers often find themselves frustrated at the lack of Key West Real Estate inventory
4. Industry experts polled this week by Bankrate.com split almost evenly: 28% predict a mortgage rate increase over the short term, 36% foresee a decrease and 36% expect stability. The average on the 15-year fixed mortgage, a popular refinancing option, slipped to 2.86 percent. That’s down from 2.89 percent last week and closer to the record low of 2.80 percent five weeks ago.

Questions and Answers:

1. What types of properties are selling this summer?

Since June 1st there have been 183 residential sales closed between Key West and Summerland Key. 103 of those properties were single family residential homes with the remainder a mix of condominiums, town homes, and muti-family properties.

2. How is the Commercial Real Estate Market doing?

During the same time period, there have been 13 sales of commercial property between Key West and Summerland Key. Those properties ranged in price from $52,000. To $19,130,000.

3. Are there many distressed properties still on the market?

As of September 1st there were only 34 Active Short Sale properties listed on the MLS between Key West and Summerland Key.

If you take all this research into consideration, you can see that the real estate market in Key West was hotter than the summer heat. Rentals, single-family homes, and condos are flying off the market. One of the more overlooked statistics that shows buyers how the market is performing is DOM (days on the market). Comparing this summer to the summer of 2011, the average DOM has decreased by 50%. Key West Homes are being bought quicker than ever and many of them have multiple offers. With the interest rates at all time record lows and inventory decreasing by the minute, your time is now to purchase the Key West Home of your dreams! Contact Preferred Properties today for a personal consultation.