Some say Key West dodged the bullet when Hurricane Irma slapped our island home in September 2017. We were fortunate that only a couple of our homes were severely damaged, but a lot of homes did have roof and fence damages, loss of trees, and loss of peace of mind for a few weeks living in the aftermath of the storm. Earlier in the year we experienced a brisk real estate sales market as dreamers bought houses in the Old Town and Casa Marina areas at higher than ever asking prices.
Some people were fearing that Key West might be in a housing bubble similar to the one that occurred in the two years preceding the national recession that occurred in 2008. I will soon write a new blog giving the year end statistics on single family home sales in Key West. My lament, if any, is that we have few homes for sale as the 2018 selling season begins.
Listed below the real estate sales I believe were among the best of Key West in 2017.
712 Ashe Street. This house was a mess beyond repair, but it was located in a really great Old Town neighborhood far from all the hubbub of the Duval Street area. Sold for $475,000 after 489 days on the market. It was then totally rebuilt and the new home placed on the market at $1,450,000. It sold for $1,410,000. The story of this decrepit old house is the story of new Key West.
Let me share a brief personal story to make my point. When I was working with Mitzi Krabil, my Realtor in the 1980s and early 1990s, I was a very difficult buyer. I insisted on getting my way and buying at my price. I did not win at that game. When I was ready to settle for a cigar maker cottage that used to be available for around $100,000, I fessed up to Mitzi and said I would then buy one. She said "Gary they are all gone." And she was right. Time had passed me by. If I was to buy, I would have to pay the higher price. If I wanted something that had been updated, I would either have to pay more for it or buy a fixer and pay to have it fixed. That has been exactly what has been going on for over the 34 years since I first visited Key West. The stark reality for new buyers is that the cost of the fixer house has gone up and the cost of renovation has dramatically risen. Moreover, buyer in the old days could do so many more things to improve a house that are no longer acceptable because ever expanding HARC rules and city building code regulations.
I warn real buyers that buying a fixer house is not as easy as one might think even if a buyer has done a similar project up north in America. Things work differently down here and buyers have a good chance of getting taken advantage of if they are not here. The owner of 712 Ashe Street was his own general contractor and also the listing agent on the sale. He invited me over a couple of times during construction. We even discussed pricing when he was near completion.He was going to ask $1,350,000. I told him his asking price was too low. He increased it by the date he listed the house. I am not taking credit for that, but I may be the culprit. I think the house was priced right and sold right. This price reflects the new reality for very well done fixer houses in Old Town.This house did not have parking but many of the homes in this location do not have parking either. If it had parking, the sales price would have been higher.
830 Olivia Street. This was a bank owned property that had been listed many times over the years as a short sale. It was probably illegally divided into two or three living units. I am not sure if the prior owner actually lived there, but I suspect the income that the place was throwing off during the lengthy foreclosure was the reason none of the short sales efforts ever got approved. Another factor hindering sale was a gigantic tree that hung over the roof. Getting rid of that monster would have been extremely difficult and expensive. Finally, the house is located across the street from the cemetery. Some people would view this house and this location as a bad omen. I think the right buyer could turn this place into a gem. It sold at $514,500.
1717 Rose Street sold at $515,000. It was a nice mid-century home in move-in condition. It sat on a huge lot that gave it potential for either expansion or to tear down and build new. Razing mid-century homes has become an alternative to renovation as the rules for renovating have put a lot of constraints on owners. It has a quickie makeover and is back on the market.
1007 Eaton Street. I listed this cute two story home that went under contract in a matter of days on the market. It sat on a deep lot with room for a pool in the rear where there was also an off street parking space. Buyers need to read the MLS description and not just look at photos. Sold for $624,000. Key Words: room for a pool and off street parking in rear.
227 Julia Street is a real beauty located in Bahama Village. Some buyers pass-up looking in that area, but they are the losers. I think some homes there are comparable to homes located east of Duval Street that are priced much higher. Buyers who want a better price should look west of Duval.
1 Nassau Lane. I listed this gem in early April. I posted an open house sign the first Sunday it was on the market but did not place an ad in the paper. I had 182 lookers. The next Sunday I placed an ad. On the day before my second open house two separate couples came to the house twice on the same day. During the two showings a different couple stopped to look at the outside. I allowed them to take a look in between the showings to the other couples. The lady came back to the Sunday open house and made a cash offer over the asking price which was accepted by the seller. This cottage style home had charm to spare and a superior location on one of the slow lanes of Key West!
806 Southard Street. I sold this house. It was a tough sale. The former owner was raised in this house. The seller's family had expectations of selling at a price over the actual appraised price. The house was in pretty good condition and sits on one the very best blocks in Old Town. The buyers had to pay a bit more for this house, but they got what they wanted - a great looking fixer property with room for a pool and off street parking in great location. They hired Matthew Stratton, one of the very best architects in town, to design the renovation. I am excited to watch what happens.
2619 Gulfview Drive. This was a bank owned property with an incredible waterfront view of the Gulf of Mexico. This is a single family home with a lot of positive features with the negatives of deferred maintenance. I think whoever bought this got a steal!
1403 Catherine Street. I sold this house a few years ago. When we were doing the home inspection, the home inspector said "I have never seen a house with nothing wrong with it until this home" or words to that effect. This place was and still is the best built and most attractive home in Key West. The buyer got a heck of a deal! Congratulations!
411 Grinnell Street. This 1541 sq ft single family home sold for $2,800,00 - the highest price per sq ft in Key West this year - $1,871 per sq ft. The house was unique in that it included an adjacent lot with a valuable ROGO on which a new house could be built. Earlier in the year I lamented the soaring increase in the number of houses offered for sale at an asking price of over $2,000,000. I questioned how many could be sold. I will give my readers all the numbers in an upcoming blog. Suffice it to say I was mistaken as to the demand for $2,000,000 plus houses in Key West. By the way, I sold the house next door a couple of years ago and the eyebrow house across the street five years ago or so. I think those owners must be pleased as punch to see the home values rise so quickly in their little enclave.
1026 Von Phister This house is located caddy-corner across the street from my home. It sold for $3,000,000. The listing and selling agent is Cory Held at Preferred Properties. She sold the next two homes as well.
1023 Johnson Street. This was a total renovation plus addition of an historic Casa Marina home on a large lot. It was done to the nines. It sold at $3,350,000.
1019 Flagler Avenue was another total renovation of an historic home. It sold for $3,650,000. That's not the whole story, however, This home sold two more times since I started to write my blog. Now that's not noteworthy, but those sales mirror the rise in popularity of the Casa Marina Area and the increased value of larger and more improved homes in that area. It first sold in 2009 for $625,000 when it was a very large house divided into owner occupied quarters at the rear of the first floor and all of the second floor. A portion of the first floor was rented out as a doctor's office. The house sold again in 2014 for $900,000. The owner/seller had not made any substantial improvements to the property. The new owner did the complete renovation which resulted in the 2017 sale at $3,650,000.
707 South Street. I drove down South Street on my bike or in my car for years and looked at the big old house that sat at this location. I looked nearly abandoned for so long. The house itself was a feature scene in the 1989 James Bond movie
License to Kill. Then it was renovated and expanded. The interiors were incredible. Craig Reynolds, Key West's premier landscape architect, did the pool and gardens. This
impeccably renovated and expanded home sold for $5,000,000.
