This Florida Keys blog offers information from Key Largo to Key West including market statistics, home values, Keys events and more. We care and want to help you find your best place in the Florida Keys. Please reach out if you have any questions at all. An easy way is to visit ScheduleJim.com. We’d love to speak with you!
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Concrete block 3 bedroom, 2 bathroom home in Winston Waterway is priced to sell. Easy boating access to the ocean or bay!
View the link to 188 La Paloma Rd on KeysListings.com
View all homes for sale in Winston Waterway
View all waterfront homes for sale on Key Largo
View the Ocean Sotheby's International Realty brochure for C404 Tamarind Bay
View the link to C404 Tamarind Bay on KeysListings.com
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View all condominium units for sale on Key Largo
If you’ve ever considered selling your home, you’ve likely procrastinated about it for months and sometimes even years. It’s a big step.
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Is now the best time? Will the market change? Where would we move to? These are all questions that likely pop into your head. It can be too much to consider and as we know, the confused mind says “NO!”.
A new study was recently released by Zillow which showed that they did extensive research on the very BEST time to sell a home nationwide. The results are very revealing to say the least…
The researchers found that selling a home before May 15th not only allows it to sell faster, but also sell for a lot more money. As a matter of fact, those homes were sold for one percent more than those sold after May 15th. Coupling that with the fact that they also sell 18 days faster (on average) and this means it’s a far better option to get the home sold and closed prior to that mid-May date. Nationwide, a full 1% more for your home can mean thousands of dollars in additional profit as well as a much quicker sale time.
While this was a national study (rather than local) it certainly shows some facts you will want to consider when looking at a possible move.
One of the most important things noted within their research was marketing time. It reveals that it can take 45 to 90 days to find the right buyer for your home, so you’ll need to allow your agent some marketing time in order to get the property “in contract” and finally closed prior to that magic May 15th date revealed in the study.
Obviously, waiting until April or May to list your home may be too late as there’s little chance it would close by that time.
We’ve always known that price is a function of supply and demand. With so many of your neighbors listing their home for sale during late Spring and once children get out of school for the Summer, it simply drives values down due to the flood of homes available. If you’ve considered selling, be sure you beat the rush!
In the fast-paced world of real estate, staying ahead of the game is key to finding your dream home. One often overlooked yet powerful tool in your house-hunting arsenal is the ability to save searches on our real estate website. While it might seem like a small feature, regularly updating your saved searches can make a significant difference in your property search journey.
1. Stay Informed on New Listings:
Real estate markets are dynamic, with properties coming on and off the market regularly. By updating your saved searches, you ensure that you receive notifications about the latest listings that match your criteria. This proactive approach keeps you in the loop about potential homes that might have slipped through the cracks otherwise.
2. Capture Market Trends:
The real estate landscape is constantly evolving, and market trends can impact property availability and prices. By adjusting your saved searches to reflect current market conditions, you gain a better understanding of pricing dynamics and the types of properties available. This knowledge is invaluable when making informed decisions about your real estate investments.
3. Refine Your Preferences:
As you continue your search, your preferences and priorities may evolve. Perhaps you've reconsidered certain features or amenities. Regularly updating your saved searches allows you to fine-tune your criteria, ensuring that the properties you are shown align more closely with your changing preferences.
4. Save Time and Effort:
Manually sifting through countless listings can be time-consuming and overwhelming. Saved searches act as your personalized assistant, delivering relevant listings directly to your inbox. This automation not only saves you time but also ensures that you don't miss out on opportunities in a competitive market.
5. Seize Limited Opportunities:
In real estate, timing is often critical. A well-maintained saved search increases your chances of being among the first to discover a new listing that matches your requirements. This advantage can be crucial, especially when dealing with properties in high demand.
In the world of real estate, the importance of regularly updating your saved searches cannot be overstated. It's a simple yet powerful way to stay informed, adapt to market trends, and streamline your property search process. By harnessing the full potential of this feature on our real estate website, you position yourself to make well-informed decisions and, ultimately, find the home that perfectly suits your needs. So, don't let the opportunity pass—refresh your saved searches and embark on a more efficient and rewarding real estate journey today.
November 2023 proves to be a significant month for Monroe County's single family housing market, with growth observed in closed sales. This critical metric, reflecting the successful transfer of single-family homes, shows a notable 1.6% increase compared to the same period in 2022. Noteworthy is the continuation of this positive trend following October 2023's impressive 23.3% rise in closed sales, marking the first consecutive months of increase in over a year.
The growth in closed sales carries significant implications for both buyers and sellers. Increased closed sales often indicate heightened buyer confidence, a competitive market, and a positive outlook for property values. For sellers, this trend translates to a higher likelihood of successful transactions and potentially favorable pricing.
Accompanying the growth in closed sales is a substantial increase in the median sale price for single-family homes. November 2023 saw a significant jump to $1,124,500, marking a robust 16.8% increase from the $963,000 recorded in November 2022. This rise in median sale prices aligns with the heightened demand indicated by the growth in closed sales, reinforcing the overall strength of Monroe County's real estate market.
The growth in closed sales is a notable feature of Monroe County's housing market in November 2023. This increase, coupled with a rising median sale price, paints a picture of a thriving and dynamic real estate landscape. As the market continues to show signs of strength, both buyers and sellers can navigate the opportunities presented by this growth in closed sales, setting the stage for a promising future in Monroe County's real estate arena.
For more information on buying or selling in the Florida Keys MESSAGE US today. You can also READ the full report from the Florida Board of Realtors.
What an amazing year it was for most! Particularly in the real estate world, we experienced another 8 or 9 months of unmatched growth and appreciation followed by a few months of slow down late in the year.
This is the time of year to enjoy the Holidays, spend time with family and reflect on the best things that happened for you this year. While all of us also hit some bumps in the road, we certainly had several blessings as well.
We’ve noticed that for this year, several of our clients have a new house at the top of their list for New Year’s Resolutions. Why? Because the market is starting to shift right now and for many, if they don’t make the move now, they may need to commit to another 8 years in their current residence. As is customary, we tend to see 4 or 5 years of lowering prices, followed by 4 or 5 years of recovery to get back to where we were to begin with. Right now, we appear to be at or just past the PEAK in home values.
The truth is, a move may be right for some families and not for others. It’s wise to sit down with us for 15 minutes or so to discuss the pro’s and con’s of each option. Many times, we find that it may be best to sit and ride it out for 8 or 10 years until prices recover. Other times, you may want to move to a home right now that better fits your needs. Your ultimate decision may come down to your current mortgage amount, where you plan to move, if you are moving to a higher priced or lower priced home and much more. We offer a totally free sit-down meeting with all of my real estate clients where they can get all the answers they need to make an educated decision. Most importantly, they know it will be a non-threatening and zero pressure meeting just to gain the knowledge you need to decide if now is the right time. We know that we’ll work together again whenever the time comes so we need to see if that should be sooner or later due to the market changes happening right now. We always want you to do what’s best for your family’s needs and your financial situation.
We always find that the month of December has us going out to meet with dozens of our inactive clients just to look at a real estate status check, see what their neighborhood values have been doing and determine if they are in the right spot based on predictions of where the market may be going.
Some of our clients are interested in picking up a rental property or two. Others are looking for a possible condo in a vacation area within another state. Regardless of what the need is, we have connections to make it happen and can talk you through the “good and bad” to determine if it really makes sense for you to move forward on it.
With us being in real estate, we truly let my Holiday’s be a HoliDAY, not a HoliWEEK or HoliMONTH! We have to keep working!
We find ourselves going on lots of appointments meeting with our inactive real estate clients just to touch base with the family, see how they’ve been doing, any upgrades they’ve done to their home and to chat about the real estate market.
If you’d like to have a phone or a face-to-face meeting with no cost or obligation at all, just give us a call. That’s what we're here for and we are always happy to hear from you!
Summer flew by, Halloween came and went, and before we knew it, we are prepping for the upcoming holiday season. As magical as the holidays are, with friends and loved ones coming together, it’s also a time of stress and never-ending to-do lists. There are plenty of things you can do to keep you and your families sane during the last two months of the year!
Keep yourself in check with lists. Instead of a last-minute dash to the store for gifts or last forgotten ingredients, start now by making thorough lists. Write out the names of those you want to acknowledge during the holidays and why—figuring out what you really appreciate about someone can make gift buying easier.
Stay on schedule. As much as you possibly can, try to stick with your normal routine during the holidays. Don’t stay out at late at holiday parties. Don’t pull an all-nighter wrapping presents or baking pies for Thanksgiving. Disrupting your schedule and losing out on sleep can make your mood deteriorate.
Do something different. This year, does the prospect of the usual routine fill you with holiday dread rather than holiday joy? If so, don’t surrender to it. Try something different. Have Thanksgiving at a restaurant. Spend Christmas day at the movie theater. Donate gifts instead of keeping them.
Keep your expectations modest. Don’t get hung up on what the holidays are supposed to be like and how you’re supposed to feel. If you’re comparing your holidays to some abstract greeting card ideal, they’ll always come up short.
Make room for those that matter most. It’s easy to feel the weight of social obligations during the holidays. We can get caught up in a fear of pleasing others and do what seems “right”. If you can’t make your boss’ party, maybe you can take him out for coffee or get a small gift instead.
As with everything, if you stay present in the moment and appreciate the experience, you won’t be overwhelmed with too much stress this holiday season.
The Florida Keys has been experiencing a significant uptick in the single-family home market, showing positive trends in key metrics. The data from October 2023 compared to the same period in 2022 paints a picture of growth and increased demand, highlighting the region's resilience and desirability in the real estate market.
Closed Sales: Soaring to New Heights
The most striking indicator of the thriving real estate market in the Florida Keys is the substantial increase in closed sales. In October 2023, the region recorded an impressive 23.3% surge in closed sales compared to October 2022. The figures speak volumes about the growing interest in single-family homes, emphasizing the enduring appeal of the Florida Keys as a dream residential destination.
Median Sale Price: A Testament to Value
The median sale price for single-family homes in the Florida Keys also witnessed a substantial upswing, with a remarkable 35.9% increase from $975,000 in October 2022 to $1,325,000 in October 2023. This surge not only reflects the region's appreciation but also underlines the value that homebuyers place on the unique lifestyle and amenities offered by the Florida Keys.
Dollar Volume: Surging Ahead
The total dollar volume of single-family home sales in the Florida Keys experienced a staggering 69.8% increase, reaching $151.6 million in October 2023, compared to $89.3 million in the same period in 2022. This substantial growth in dollar volume reinforces the sustained momentum in the real estate market, indicating heightened investor confidence.
Median Time to Contract: Steady Pace
While the median time to contract showed a modest 16.7% increase, rising from 54 days in October 2022 to 63 days in October 2023, it is important to note that this increase is still within a reasonable range. The uptick may be attributed to the increased demand and competition, reflecting a market where buyers are thoughtful and deliberate in their decision-making processes.
Pending Sales and New Listings: Building Momentum
The positive trends extend to pending sales and new listings, showcasing the sustained growth in the Florida Keys' real estate market. Pending sales experienced a 10.9% increase, signaling a continued appetite for single-family homes, while new listings surged by an impressive 59.2%, providing prospective buyers with an expanding array of options to choose from.
Active Listings: Meeting Demand
With a 26.1% increase in active listings from October 2022 to October 2023, the Florida Keys market is working to meet the growing demand for single-family homes. The rise in active listings indicates a healthy balance between supply and demand, fostering a dynamic and competitive market environment.
The Florida Keys' single-family home market has demonstrated remarkable resilience and growth in October 2023, as evidenced by the significant positive changes in closed sales, median sale price, dollar volume, pending sales, new listings, and active listings. These encouraging statistics not only reflect the region's enduring allure but also suggest a thriving real estate landscape, making the Florida Keys an exciting and robust market for both buyers and sellers alike. As we move forward, these trends position the Florida Keys as a beacon of opportunity in the real estate realm.
For more information on buying or selling in the Florida Keys MESSAGE US today. You can also READ the full report from the Florida Board of Realtors.
If the thought of investing your money into brick and mortar—or perhaps some stylishly-painted siding—excites you, join the club.
Investing in real estate has long been one of Americans' favorite ways to grow their wealth. In fact, over 70% of single-family rental properties are currently owned by individual investors rather than corporations, according to Census data.1
Moreover, a decade's worth of Bankrate surveys has found that Americans often prefer real estate for long-term wealth building over other investments. According to Bankrate's latest survey, for example, Americans have historically embraced real estate, in part, because of the strong return on investment it can offer—especially to investors willing to stick with a property over time.2 It’s also a popular way to hedge against inflation since both rental income and property values tend to rise in tandem with overall prices.3
Now, as higher interest rates continue to push priced-out homebuyers to the sidelines, a new crop of “mom and pop” investors are eyeing the mushrooming rental market as a potential goldmine.4 Interest in buying a home to both live in and rent is also on the rise, especially amongst cash-strapped buyers looking to supplement their mortgage payments.5
But how do you know if you’re well-suited to take advantage of these real estate investment opportunities? Here are three signs that owning a rental property could be right for you.
1. YOU'RE A HOMEBUYER WHO WANTS HELP COVERING THE MORTGAGE
If you're looking for a creative way to buy a home without overspending, “house hacking” could be the answer. Increasingly popular with first-time homebuyers and budget-conscious investors, house hacking simply means buying a home that you intend to live in while renting out a portion of it to one or more tenants.5
House hacking also tends to be easier to break into than traditional real estate investing since you don't need as high a credit score or as large a down payment to qualify for a mortgage. In fact, some government-backed mortgage programs will let you buy a primary residence with little to no money down.6 Buying a home you don't plan to live in, by contrast, may require you to put down as much as 15% to 25% to qualify for a loan.7
If you house hack, the money you collect for rent each month can help cover your mortgage and other homeownership expenses. Depending on your setup, you may also be able to save on utility bills by splitting them with your tenant or tacking a portion onto their monthly rent. Another major advantage of house hacking is that it entitles you to certain tax benefits and deductions available only to landlords.8
When it's time to start your search, we can help you find a property that's ideal for house hacking, such as a house with a walkout basement, a multifamily unit, or a home with enough outdoor space to build an accessory dwelling unit or garage apartment.
2. YOU'RE AN INVESTOR LOOKING FOR STEADY AND RELIABLE INCOME
If you’re not crazy about the idea of a live-in tenant but still desire an additional stream of income, a dedicated long-term rental property could be a better option for you. Besides the monthly proceeds, purchasing a rental home can also add diversity and long-term stability to your investment portfolio and help you build wealth over time.9
According to data from the Federal Reserve, real estate owners have historically prospered. In early 2020, for example, the median home was worth almost triple what it was 30 years prior. Then, during the pandemic-era real estate boom, average home prices grew at an especially frenzied clip, climbing by nearly 50%, on average, in just two and a half years.10
However, the rate of appreciation can be hard to predict, so it’s prudent to invest in a property that also offers positive cash flow, which means the rent you take in exceeds your expenses. This strategy helps to ensure that you’ll put money in your pocket each month, even if the property’s value takes time to grow.
While today’s higher mortgage rates can make it more challenging for landlords to turn a profit, investment opportunities aren’t reserved for cash buyers. In fact, currently, almost 60% of real estate investors take out a loan to finance their purchase, according to Thomas Malone, an economist at the real estate data firm CoreLogic.4 He also notes that more small investors are stepping in to meet demand for rental housing, which has grown since many would-be buyers remain priced out of the purchase market.4
If you want to explore opportunities for a residential rental property that's good for your wallet and attractive to renters, we can help. Reach out with questions or to schedule a free consultation.
3. YOU'RE AN EXPERIENCED INVESTOR LOOKING TO MAXIMIZE YOUR POTENTIAL RETURNS
Another increasingly popular way to draw income from an investment property is to convert it to a short-term vacation rental. But beware: This strategy can be riskier as some municipalities have tightened rental restrictions and others are suffering from market oversaturation.11,12
With that said, if you're an experienced investor who can afford to take on some uncertainty, then investing in a short-term rental could make sense for you.
If you find the right property, for example, you could earn significantly more renting it short-term on a platform like Airbnb than if you rented the home to a long-term tenant.11
The key is to keep it occupied as much as possible at a premium nightly rate. To do that, you’ll need some marketing savvy, hospitality skills, and business acumen. Of course, you can always hire a professional property manager, but you’ll need to factor the cost into your budget.
The vacation rental market enjoyed a boom during the pandemic, and some inexperienced investors are finding they bit off more than they can chew. As a result, there's an opportunity to snap up some of these properties, but you'll need some cash on hand and a willingness to learn the business.12
We can help you scout opportunities in our local market or, if you’re interested in investing in another area, we can refer you to an agent there for assistance.
BOTTOMLINE
Investing in real estate can be a great way to build your wealth long-term and earn some extra income. But to make the most of your investment, it pays to be strategic.
Call us for a consultation (305) 451-2111, so we can discuss your goals and budget. We'll help you discover neighborhoods with the best income potential, point out the homes most suited to renting, and help you brainstorm the best investment strategy for you.
Before you take the plunge, make sure you can answer “YES”
to these three questions:
1. Are you ready to be a landlord?
Owning a rental property can take a lot of time and energy. You're not just buying passive income, you're also building sweat equity since the time you spend maintaining, marketing, and managing your rental can add up quickly. So be prepared to do some soul-searching to ensure you’ll not only flourish as a landlord, but actually enjoy it.
If you want to invest in real estate but aren’t prepared to put in the day-to-day effort required, we can refer you to a property management service for help.
2. Can you afford to invest in real estate?
The last thing you want is to get over-extended with your new real estate venture. Besides the cost of purchasing the property, you’ll need to consider additional expenses, like property taxes, insurance, administrative costs, and maintenance and repairs. You will also need a cash reserve for unexpected issues or potential vacancies.
We can help you run the numbers to determine whether you can charge enough rent to offset your expenditures.
3. Have you found the right income property?
Even if you’ve got your finances in order and are emotionally ready to invest, your success as a landlord will also depend on the property you buy. The criteria for a good rental home and a good family home are often different, so it’s important to lean on professionals for advice.
We can help you find an ideal rental property, taking into account your budget, risk appetite, and investment goals. If you decide to invest in a different area, we'll connect you with an agent who's more plugged into that community. Reach out today to schedule a free consultation.
The above references an opinion and is for informational purposes only. It is not intended to be financial, legal, or tax advice. Consult the appropriate professionals for advice regarding your individual needs.
Sources:
1. PR Newswire - https://www.prnewswire.com/news-releases/census-data-show-individuals-continue-to-own-largest-share-of-single-family-rental-homes-301725024.html
2. Bankrate -
https://www.bankrate.com/investing/survey-favorite-long-term-investment-2022/
3. Forbes -
https://www.forbes.com/sites/forbesbusinesscouncil/2022/04/14/why-income-generating-real-estate-is-the-best-hedge-against-inflation/?sh=1081ce921746
4. MarketWatch -
https://www.msn.com/en-us/money/realestate/another-challenge-for-homebuyers-more-investors-are-snapping-up-homes-and-40-of-them-are-using-cash/ar-AA1foWSB
5. Realtor.com - https://www.realtor.com/advice/buy/on-the-house-house-hacking-your-way-into-your-first-home/
6. NerdWallet -
https://www.nerdwallet.com/article/mortgages/government-home-loans
7. LendingTree -
https://www.lendingtree.com/home/mortgage/down-payment-for-rental-property/
8. Quicken Loans -
https://www.quickenloans.com/learn/house-hacking
9. Investors Business Daily - https://www.investors.com/etfs-and-funds/personal-finance/rental-properties-investing-experts/
10. St. Louis Fed FRED Economic Data -
https://fred.stlouisfed.org/series/MSPUS
11. Story by J.P. Morgan - https://story.jpmorgan.com/real-estate-news/thinking-about-investing-in-short-term-rentals-heres-what-to-know
12. Skift -
https://skift.com/2023/07/21/short-term-rental-saturation-leads-to-a-correction-and-lots-of-home-sales/
The real estate market is a dynamic entity, constantly shifting and responding to a multitude of factors, from economic conditions and interest rates to demographic shifts and natural disasters. The Florida Keys, renowned for their stunning beauty and appealing lifestyle, possess a housing market that is no exception to this dynamism. In this analysis, we'll delve into the key statistics of the single-family homes housing market in the Florida Keys for the months of August 2023 VS August 2022
Closed Sales: A Significant Decrease
In August 2023, the Florida Keys witnessed a notable decrease in closed sales for single-family homes. There were 83 closed sales, marking a 38.1% decrease compared to August 2022, which saw 134 closed sales. This reduction in closed sales indicates a shift in demand as well as decreased supply.
Cash Transactions: A Dip in the Cash Market
The proportion of cash transactions in the market also experienced a decline. In August 2023, there were 37 homes purchased with cash, reflecting a 19.6% decrease from the 46 cash transactions recorded in August 2022. This might imply changes in the prevalence of cash transactions compared to financing methods. This trend is the opposite of what we would expect with higher interest rates, this is a trend to keep an eye on.
Median Sale Price: A Decrease in Value
The median sale price for single-family homes in the Florida Keys saw a decrease of 10.3% from August 2022 to August 2023. In 2023, the median sale price stood at $1,616,315, while it was notably higher at $1,802,433 in August 2022. This reduction might imply a potential adjustment in property values and reduced buying power with higher interest rates.
Time Factors: A Change in Market Dynamics
The median time to contract and the median time to sale both exhibited noteworthy shifts. The median time to contract in August 2023 increased by 32.4% compared to the previous year, jumping from 34 days in 2022 to 45 days in 2023. Similarly, the median time to sale also increased by 24.3%, rising from 74 days in 2022 to 92 days in 2023. These changes highlight alterations in market dynamics and buyer-seller interactions.
Listings and Inventory: A Mixed Bag
The number of new listings in August 2023 decreased by 11% compared to August 2022. In 2022, there were 129 new listings, whereas in 2023, this number dropped to 145. On the other hand, pending inventory saw a 19.5% decrease, falling from 174 in 2022 to 140 in 2023. In contrast, the active inventory experienced a 16.4% increase, rising from 524 in 2022 to 610 in 2023. These variations suggest a complex interaction of factors affecting listing activity and available housing inventory.
In conclusion, the Florida Keys single-family homes housing market witnessed shifts and adjustments in various key metrics from August 2022 to August 2023. The decrease in closed sales, cash transactions, median sale price, and new listings, alongside an increase in median time to contract, median time to sale, and active inventory, reflect a changing landscape in the real estate market. Understanding these changes is crucial for both buyers and sellers in navigating the market effectively and making informed decisions. As we move forward, it will be intriguing to monitor how these trends evolve and influence the housing market in the Florida Keys.
For more information on buying or selling in the Florida Keys you can call (305) 451-2111 or message us. You can also read the FULL REPORT provided by the Florida Realtors.
