Florida Keys Real Estate Winter Market Report 2020

The Florida Keys real estate market has been bustling with activity as there are now more recorded sales in the first nine months of 2020 compared to 2019. And this is even after when the Keys were cut off from the world by the checkpoint for 2 ½ months. Because the current record-high pending sales will close in the fourth quarter, it’s expected that 2020 will be the best year for real estate sales since 2004. For this reason, if you’ve been eyeing Florida Keys real estate, there’s probably no better time than now to enter the market. And if you’re in need of only the most qualified real estate agent in the Keys, then look no further than to April Struhs of Florida Keys Search.

April Struhs is recognized far and wide for her talents in providing clients the property of their dreams. This is why if you’re seeking Florida Keys real estate, you can trust that she is the clear choice.

For a more in-depth look into Keys real estate, continue reading below for a Florida Keys real estate market analysis with data provided by Coldwell Banker Schmitt.

Florida Keys Real Estate Report

The value and sales of properties in the Florida Keys real estate market declined drastically with the occurrence of Hurricane Wilma in October 2005. And this was long before several markets were facing ballooning inventories, declining prices, and dramatically reduced sales volumes.

Due to such troubling factors at the time, many individuals active in the market are left to wonder: are the Keys left in another real estate bubble that will require readjustment?

For our Florida Keys real estate market analysis, we had to answer this question by first assessing the signs of such troubling issues in 2005.

The first sign of a downturn for the real estate market started with increasing inventory which began in April 2005. The other was increasing sale prices that took place in 2004 and 2005, which increased at a rate of 2-3% per month. Added to this, lenders were lending regardless of acquisitors’ ability to repay.

None of these factors currently exist, leading to the conclusion that entering the Florida Keys real estate market now doesn’t sound like a bad idea. And while inventories of properties for sale right now are below historic averages — which does lead to fewer options for acquisitors — this lack of inventories in 2020 has actually led to sustainable price increases (unlike anything back in 2005).

Historically low-interest rates have been predicted by the Federal Reserve Board to remain in place until 2023 along with precautions taken to help keep the market from overheating as it had back in 2005.

In conclusion, our Florida Keys real estate report indicates that inventories will remain low as current Key owners will want to isolate themselves from both health and social impacts that are caused by the pandemic, resulting in maintained price increases. As a result, it’s predicted that a strong fourth quarter of 2020 will ensue as well as a strong new year for real estate in the Keys.

Further Analysis of The Florida Keys Real Estate Market

For a better understanding of the Florida Keys real estate market trends in 2020 compared to 2019, here are statistics indicating improved conditions:

  • Increased Keys-Wide Sales

    • Increased 7% from 2,177 properties to 2,323 properties

      • Generally, more homes have been bought in the first 9 months of 2020 compared to 2019.

  • Increased Average Sale Price

    • Increased 6.4% from $620,338 to $660,216. 

      • A stable increase in real estate prices has indicated that price increases are sustainable. It also indicates the increasing value of the Florida Keys real estate market as a whole.

  • Increased List Price

    • Increased 8.9% from $981,021 to $1,067,918.

      • Further indication that the Florida Keys real estate market value has been steadily increasing.

  • Increased Days on Market

    • Increased 2.5% from 120 days to 123 days.

      • There’s only a slight increase in the days on market for Keys real estate. Though it’s a small change in 2020 compared to 2019, this could be an indicator of increased deliberation by acquisitors when considering to buy property. 

  • Decreased Properties For Sale

    • Decreased 10.3% from 2,318 properties for sale to 2,080 properties for sale.

      • As mentioned earlier, there is a low inventory of properties for sale. And it’s much less compared to 2019 (mainly due to the fact that numerous acquisitors recognize the value and potential of the Florida Keys real estate market).

Florida Keys Real Estate Submarket Analysis (2020 vs 2019)

Florida Keys real estate market sales had increased just about every except for Key West in 2020 as opposed to 2019. In the Upper, Middle, and Lower Keys, listings declined whereas Key West listings had actually risen. And due to the number of pending sales being at record-high levels at the end of September, the Months of Inventory posted double-digit drops everywhere (except for Key West).

Months of Inventory 2020 vs 2019:

  • Key West: +12.5%

  • Upper Keys: -35.8%

  • Middle Keys: -17.6%

  • Lower Keys: -13.4%

Sales in each submarket had increased in the double-digit range except for Key West as indicated by the statistics below:

Real Estate Sales 2020 vs 2019

  • Key West: Decreased -9.1%

  • Upper Keys: Increased +3.8%

  • Middle Keys: Increased +13.8%

  • Lower Keys: Increased +9.9%

In each submarket, the average list price (ALP) and average sale price (ASP) had risen, indicating the high value of each region holds in the Florida Keys real estate market.

Contact April Struhs Today!

The quarterly Florida Keys real estate market report only covers a general analysis of the market. For a further in-depth explanation of the Keys market as well as what makes these properties so valuable, don’t hesitate at all in contacting April Struhs. We’re more than happy to guide you through the Florida Keys real estate market to ensure the smooth acquisition of your desired property. You may also visit Coldwell Banker Schmitt’s site for information on the state of the Keys Real Estate Market.

I have an excellent track record of helping clients find their desired real estate. And if you don’t believe me, just take a look through my Testimonials page. I’ve never had a review of less than 5 stars!

For any inquiries, you may call me at 305-399-6297 or visit my contact page.

Keys Real Estate Market 2020 vs 2019 data provided by Coldwell Banker Schmitt

April Struhs