627 Elizabeth Street in Old Town Key West

627 Elizabeth Street might be the vacation home you have been waiting to find.

Classic Old Town Conch house in prime neighborhood that is more than 85% completed. Completely renovated with second floor addition for more living space. Fantastic opportunity to pick out the final touches or wait for completion in approximately 60 days.

The main living area and kitchen are located at the rear of the property and overlook the new pool. There are two bedrooms on the first floor and the master bed and bath are on the second floor and have a view of the pool. The ceilings in the entry hall and main living area are vaulted.

The house sits at just about the highest point on Solares Hill so you will not need to pay for flood insurance (or worry about flooding). The neighborhood has a mix of homes most of which have been renovated over the past several years. There house at 620 Elizabeth sold for $2,999,999 in 2005. A similar house next door at 625 Elizabeth sold in 2005 for $1,295,000. The house at 600 Elizabeth sold in March 2005 for $2,680,000. Several other high dollar sales were made in the immediate area over the past three years.

I think this property is well suited for a second home buyer who wants a house with everything "new" and nothing to be done. It works well for a buyer who wants to move in "tomorrow" so he can enjoy his life. The house is divided so that guests or children sleep in the bedrooms at the front of the house while the owner sleeps in the master bedroom area located at the second floor rear. Imagine being able to actually move in to a new house in Old Town with a pool and off street parking sometime in the next couple of months. Oh and did I mention everything is new. So you won't have to go out and hire a plumber or carpenter or electrician to fix things. The work has already been done.

So many first time buyers see old houses that are a little run down and think they can buy the house and re-do it and save a bunch of money. The time frame to do that is well over a year from start to finish. You can't enjoy your home for that time period. But you will be able to have fights with your contractor and subcontractors over a variety of issues. Saving money is illusionary. Let somebody else do the work for you and enjoy your vacation home in Paradise immediately.

If this house or any other Key West home CLICK HERE to perform your own search of the Key West mls database and then call me, Gary Thomas, at 305-766-2642 to schedule a showing.

Half Price Sale on a Single Family House in Old Town

The little house at 1119 Olivia Street in Old Town Key West has just been reduced to $635,000 from its original price of $1,275,000 in March 2007. Half Price! Too bad it wasn't worth the original asking price, however. The property is owned and listed by a Realtor--not me. Thank God. But he must disclose that to the public. Please don't take these comments on my part as being negative. But you need to know the facts when you invest your money in property. Especially now!

This is an excellent opportunity to own your own Conch home located in Old Town. The home at 1119 Olivia Street was completely renovated in 2005. The property is Located in the X flood zone and sustained no damage in any of the hurricanes. A true high and dry property. Some of the features include: 2 licensed residential units, 2 off-street bricked parking spots, separate electric meters, granite counters in kitchens, and central A/C, and room for a pool. The property consists of a 1 bed/1 bath apt above rented at $1,200, and a 2 bed/1 bath below rented at $1,700 Per month. Owners will have flexibility of occupying entire home as a 3bed/2bath or renting out a portion as a lock out unit. Building was termite tented in July, 2006. As I mentioned the house is now priced at $649,000 or $550 per sq ft. That price makes it very competitive in the market since it is well located in Old Town, has off street parking, and is legally licensed as two living units. The present owner purchased the house in April 2005 and paid $785,000. He then did the renovation which had to cost a minimum of $100 per sq ft rounded to $150,000. So I would increase the capital investment in the property to be in excess of $$935,000. Some smart shopper is going to buy this house on its Half Price Sale quite soon. Mark my words.

A couple of weeks back I wrote an item about the house directly across the street at 1118 Olivia which is priced at $485,000 or $700 per sq ft for a 2 bed 1 bath home that is in a compound. I think both properties have their individual attributes. The two units at 1119 Olivia is a potential Short Sale. I think that any sale of 1119 property will necessarily require the approval of the current lender.

CLICK HERE for more info, additional photos, and a map to help you locate 1119 Olivia Street.

CLICK HERE to perform your own personal search of all Key West mls listings. Then give me (Gary Thomas) a call to schedule a personal showing. My number is 1-305-766-2642 or you can send me an e-mail at kw1101v@aol.com.

Is it a good time to Buy or Sell in Key West?

Is it a good time to buy or sell real property in Key West?

In a market of volatile prices take advantage of other peoples misfortunes. A couple of weeks ago I listed numerous properties that are in the process of foreclosure or already bank owned. These are buying opportunities. The bank owned properties are routinely reduced in asking price because the reluctant bank owners want out ASAP.

Here is a "for instance" of a non-bank seller that wants out now. I suspect something is amiss. Today there is a new listing of what is an attached two story condo 202-1 Southard (Shipyard). It is the only unit of its kind. This unit was purchased in June 2005 for $1,170,000 and is now being offered at $1,095,000 or $75,000 less than the price paid two years ago. The present asking price is too high on a price per sq ft basis, and I think the seller will probably have to accept a much lower price. But the uniqueness of this particular unit make it a good deal for a buyer who buys at the right price. It looks to me like the seller has to sell and it just a matter of determining how much of a loss he (or maybe his lender) can absorb.

Here is another "for instance". Our office has a customer who owns a mixed use property that she wants to sell. She bought it many years ago, and it is debt free. She gets a good rental income on it so she is not losing money. But the tenants are not triple net, so she does have ongoing property management and maintenance expenses. The property is located on a major street near Duval. The property was originally a two story Greek revival (Conch) house that has been converted to a small retail use and there also two licensed transient guest rooms. It is really not suitable to going back to single family use because of its location. And because it lacks any meaningful off street parking, it is not really suited to a full commercial use. The owner has left the area and would like to sell. She obtained market value opinions from two commercial brokers, a "star" residential Realtor, and from an agent in our office. The two commercial brokers told her $2.5 million. The "star" said $1.6 million. The agent in our office told her $1.7 to $1.8 million if she could wait a few years. I think the real price is around $1.4 to $1.5 million today.

Should she sell? Is it worth sitting on for 5 or 10 years to maybe get the $2.5 million. I say "maybe" because we cannot predict exactly when, if ever, the property will reach that price. Should she sell it now and forgo the possible gain of a million dollars or more at some future date? I told the Realtor in our office that she ought to sell it now and get out. She should convert an asset of determinable present value into an asset capable of earning a defined income.

I did a present value analysis of the $1.5 million invested at 5% over 5 years. The future value of that amount is $1,914,422.34 or growth of $414,422.34. If she could earn a 6% return the future value would be $2,007,338.37 or growth of $507,338.37. That is what she could earn from no risk certificate of deposits.

Maybe she could use her $1.5 million to purchase a replacement(triple net commercial property) where she now lives. If she established an 8% rate of return her $1,500,000 would become $2,203,992 in five years. She could determine exactly what the future value of her non-earning asset would be simply by acting prudently now. And she could also enjoy the upside of rising property values in a market where she resides.

The owner is in her fifties so there is a good likelihood that she will be around for several years. But in the event she should pass away, what do you think her estate will do with the property? Sell it, of course. And estates are notorious for selling short. Or maybe she just sits tight and waits for the market to rise, but it doesn't. Or maybe it even declines more. Anything is possible.

You cannot predict what the future will be, but you can make prudent business decisions to reasonably insure that your assets will be worth more in the future than they are today.

CLICK HERE to checkout all Key West mls properties.

Make Your Friends and Neighbors Green with Envy

Just Listed: 719 Fleming Street Key West, Fl. $2,595,000 or $1042 per sq ft for this 2490 sq. ft. home on a large 6420 sq ft lot.

The Grande Dame on Fleming is a stunning and elegant historic home in highly desirable Old Town location. Meticulously restored this 1859 home is one of the most exquisite properties in Old Town. CLICK HERE for more detailed info and more photos of 719 Fleming Street in the heart of Old Town Key West.

This home is just shy of 2,500 square feet under air and has an expansive 1,100 square foot of Brazilian Ipe' terrace. There is a Chef's kitchen with stainless steel appliances, slate counter tops. Four bedrooms, custom spa bathrooms, European Kable Lighting systems, original glass pane windows, and high quality finishes throughout. Off-street parking, prime location steps from the best of Key West's beaches, marinas and nightlife. Large yard, beautiful pool with travertine stone decking, lush landscaping, and balconies perfect this ideal haven for sophisticated island living.

The home is located midway between William and Elizabeth on Fleming Street and sits directly across the street from the garden CLICK HERE FOR PHOTO adjacent to the Monroe County Library. It is a short walk to all major Key West attractions. A few doors to the east you will find the house that PBS "This Old House" restored a couple of years back. And a few doors to the west you will find two homes that Broadway emprasario Jerry Herman renovated in the early 1980s. So you won't need a car to get to your yacht or your favorite restaurant or other Old Town attraction.

The off street parking is exceptional. The lot is over sized and will make your automobile ventures non-troubling which is unusual for being located in the heart of Old Town.

Not everyone can afford a home like this. If you can, give me (Gary Thomas) a call at 1-305-766-2642 to schedule a showing. If you are looking for a place less expensive, don't fret. There are a lot of well priced homes and condos available in Old Town and throughout our little city. CLICK HERE for a quick peek, select a few properties that you think may meet your interest, and then give me a call. Who knows, you may make your friends and neighbors green with envy by buying now before the prices rise.

Terrific Island Location, but you can't Escape

1516 Laird Street was just reduced from $949,000 to only $789,000 or $439 per sq ft for this 3 bed, 2 bath home with 1796 sq ft of living space on a 5547 sq ft lot.

From the formal living room the home flows into an open kitchen with skylight and a Florida room area that is flooded with natural light. The split bedroom allows for a private master suite at the rear of the home with its own double French doors providing access to the tropically landscaped pool and garden area. Another set of double French doors lead from the Florida room to a Mexican tiled patio surrounding the 12' x 30' pool.

Home has a new metal V crimp roof, new air handler and ductless AC system in master bedroom, freshly painted inside & out, new soffit and fascia, fumigated within the last year, new pool equipment and more.

Now you have to look at the photos to appreciate the enormity of what you would be getting if you bought this home. CLICK HERE for the pics and more info. Then call me, Gary Thomas, at 305-766-2642 to schedule a showing of this home. This is a lot of house for the price. Business is starting to pick up and a smart buyer is going to snap up a house like this when it is priced this competitively.

However, if your heart is set on Old Town and your budget is set lower than the Laird Street home, consider 5 Hunts Lane. It was also just reduced in price from $499,000 t0 $409,000. Hunts Lane is located midway between Margaret and Grinnell on Southard Street. The lane has no vehicle access: it is only a walking lane. So life there is a little more challenging, but you still have all the benefits of a quiet and convenient Old Town location.

The house is ripe for renovation (meaning it needs it). But it is priced at only $338 per sq ft which makes renovation economically doable. The house has 3 bedrooms and one bath and is 1210 sq ft. The home has been in the ownership of one family since it was constructed. CLICK HERE for more info and photos.

The house on Laird is ready to dare. And the house on Hunts Lane is ready for flair. So if you want to lay back by the pool you can do that. If you want to wield a hammer and redo a historic home, you can do that. You can do either at an affordable price as well. Give me a call.

P.S. The town was invaded mid-day. There are thousands of new faces everywhere. I kid you not. And it only gets worse the day after Christmas. It is like the 1950's horror movie "Invasion of the Body Snatchers". They are everywhere. And there is no escape.

Listing Whores--You Know Who They are

For the life of me I have never understood why someone would want to use the same Realtor as everyone else. There are about seven listings whores in Key West whose names are well known and who get the majority of the real estate listings. (I'll make nice and call them "stars" instead of whores, but you get the point.) Hence, they get a very good percentage of all the real estate sales in Key West. Success begets success.

But what goes into a seller's mental process that makes him think his star Realtor will be more likely to find a buyer for the old homestead than someone else?

Ask yourself how many listings a star Realtor can effectively service at any one time. After all it takes more than getting a listing agreement signed, placing a sign on the property, entering the listing information onto the mls website, taking photos of the property or arranging to have them taken, creating ad layouts for the newspaper and magazines, and showing the property to "service" a listing. You may agree with that premise, but you may still think that star Realtors have assistants to take care of all the "busy" work, so that all the star has to do is show your property to his buyers and the deal is done.

It doesn't happen like that. It did not happen that way when the market rocked, and it certainly does not work that way now that we are in decline. Realtors have to work at selling a listing. They contact prospects and market property to people who have expressed interest in a specific type of property. They conduct Open Houses. (Schedule it with the owner and maybe tenants; run an ad; place signs around the area; sit and show the home; discuss the results with the owner. That is probably 4-5 hours of time. A Realtor will also put the property on Realtor Caravan (showings just for other Realtors). That doesn't sound so onerous you say. Well, it isn't. But if you multiply all those individual tasks by lets say 20 or 30 or more, you can see how the time of a star Realtor and all of his assistants is spread a little thin. Maybe a lot thin.

I checked to see the number of residential listings a couple of the "star" Realtors had. One person had 77 and most were high-end listings. Other Realtors in the same office had 30 to 60 residential listings each. Again, most of those listings were high-end properties.

I can tell you by experience that if you go to a very good lawyer's office with a case that is dear to you and that may take his or her time to handle that the lawyer will either turn your case over to an associate or refer you to some other attorney. It is professionally irresponsible to take on a case when you do not have the time to devote to it or the expertise to handle it. Realtors like to say that they are "professionals". Shouldn't your Realtor be held to a similar standard and handle only the number of listings that he or she can effectively service at one time.

A lot of people may know a star Realtor by name. They think the star Realtor has a lot of "buyers" in his pocket. Heck, he has pocket listings so he must have pocket buyers as well. That is why he is such a success, a star. Some buyers think that their particular property is so special that only a star Realtor can list their special property. I wrote an item on Home Ego-Nomics CLICK HERE. Read it. It is fun and so true.

If a star Realtor has lots of buyers, why would he steer his buyers towards one particular property over another? Let's say that star Realtor has has 20 single family homes in Old Town in good locations that are priced between $1.5 to $2 million. If you are the Seller what makes you think a star Realtor is going to bring you a buyer over any other similarly priced and located listing?

I have mentioned that I am a licensed Colorado attorney but not licensed in Florida. I remember when I was practicing law and had a case against some young lawyer with one case. Lawyers with one client can make your life hell if you have two or more clients. Or 60. They have nothing better to do than be really good at that one case. Maybe even "win" it. I think that analogy can transfer over to listing and selling real estate. Of course, the Realtor with only a few listings has to really work the listings to be effective.

Here is another real life example: There is a large Old Town property in a good location that has been on the market for over 2.5 years. It was listed with 3 different Realtors until another agent in our office got the listing a couple of months back. He did the drill that I mentioned above. Then he went out and found a buyer for it. He had the property under contract to a local buyer within the first month. He listed the property at the same price they had it listed. He sold it. Within the first month.

If you are thinking of selling your home or business please consider using a Realtor that can devote the time and attention to selling your individual property.

Florida Keys Dream House

You know how you don't listen to commercials until something strikes your interest, and then you scramble to remember what you heard. That happened yesterday as I was watching HGTV. There was a brief announcement about New Year's Day and the Florida Keys Dream House. To the computer I flew. Sure enough, HGTC built a dream house down here and I didn't even know about it. Of course, they built it in the wrong place.

Islamorda, Florida is located about 80 miles north of Key West (Paradise)on U.S.1. Former President Bush and lots of rich folk go there to fish. Big fishing place. Not much else to do, however. Lots of very expensive homes located directly on the water, however. And lots of houses with their pools and outdoor dining areas covered with screens to prevent being eaten alive by mosquitoes. That's a problem in lots of parts of Florida, but not Key West. We have an army and an air force (no exaggeration) that keeps the little creeps at bay.

CLICK HERE to see more pics of the really nice dream house that HGTV built. Watch the show. Enter to win. Be careful, you may win and get to pay taxes on it. And be stuck owning a very expensive home in the wrong location.

There is nothing to do anywhere between Key West and South Beach. Nothing. Everybody comes here to live. People may sleep and eat up the Keys, but they come down here to live. So don't make a $2 million mistake or even a $300,000 mistake. Key West is where you want to live your life. You know it.

Every week I create a flyer of homes priced under $899,000 that I place outside our office. There are a lot of very creative people in Key West and I will be you that you could buy a nice house in a good Old Town location priced under $899,000 and create your own Dream House that would out-do the one located up Islamorda way. Location is one of the most important things to consider when buying real estate. HGTV got it wrong. You could get it right. By the way, the photo to the right is of the HGTV Dream House. The other photo is in Key West. Just so you don't think that scene is up there. It isn't.

CLICK HERE for the list of "affordable" single family homes in Key West priced under $899,000. Then give me a call to schedule your own personal showing 1-305-766-2642. Your house may not end up being as pricey or as prissy as the HGTV Dream House, but it can be your Dream Come True.

1418 Leon Street

Just Listed: 1418 Leon Street, Key West, Fl. Offered at only $3.6 million or $1,161 per sq ft.

If you aren't familiar with Key West, and maybe even if you are, you may not know where Leon Street is located. So CLICK HERE. The house is located one block east of White and one block north of Flagler. So it is near the Casa Marina area, but not quite there. The area homes are predominantly mid century and have been renovated into larger and more usable living spaces for today's lifestyles. The streets are broad and tree lined, and most of the yards are fenced and gated in the front, sides, and rear for privacy.

The house boasts outstanding architecture and has spectacular garden views from the widows walk of this elegant four bedroom home. Marble floored entry, 30' living room, 10' ceilings, and connecting dining/living porch that overlooks tropical gardens, flagstone terraces, pool and waterfall. State of the art kitchen including wine cooler and walk in pantry. There is a charming dormered room that may be suitable for another bedroom/bath, office or gym. The master suite has 12' vaulted ceilings, walk in closet and glorious master bath. Car parking for two. The house is very large by Key West standards (3100 sq ft) and sits on a 6335 sq ft lot. CLICK HERE for more info and additional photos.

This is not my listing, but I was in the house in mid October. The owner is a local architect who has done several notable projects in Key West. One of the workmen told me that the owner is a stickler for perfection. He actually put in another way, but I'll not repeat what he said.

If this particular home is outside of your present residential requirements but you are looking for a place to live in Paradise, CLICK HERE to search the Key West mls database. Then give me a call so I can help you find your new pad. 1-305-766-2642 or email me at kw1101v@aol.com.

Won't You be My Neighbor?

I have used that title so many times it is beginning to sound like a record. Wait a minute, it is.

There is a beautiful two-story double galleried home at 1127 Von Phister that is one of the prettiest properties in the Casa Marina area. It has great curb appeal and splendid gardens. There is a master suite downstairs. Upstairs there are two guest rooms with a balcony on the front and a deep sun deck on the rear that overlooks the heated swimming pool. The recent renovation includes a beautiful new kitchen inside and an outdoor kitchen. There is also a half bath and an outdoor shower poolside. CLICK HERE for more pics and details on this home.

The house is a five minute walk or take a bike ride to the Atlantic Ocean and the beach. This is the real deal my friend. And the good thing is you won't have any sand in your feet by the time you walk back home. Of course you can ride your bike or drive your car or scooter.

You can also walk or bike over to Duval Street(5 minutes); or go down to the shops on White Street like Faustos or go to the Island Gym and watch me lift weights in the early morning (2 minutes): or you can grab a cafe con leche at any of the several neighborhood joints. You can be at the Historic Key West Seaport as fast on your bike as in your car (if you consider parking in your travel time) (5 minutes). And you can be in the Key West suburbs at the shopping centers or leave on a jet plane (we got 'em) at the Key West International Airport, all within a 5 minute drive from 1127 Von Phister.

The house is priced at $1,595,000 or $1,045 per sq ft. It has just about everything going for it (including having me as your neighbor--I live 4 doors to the west). And the location is not only convenient, but also very quiet. We don't have a lot of tourists on our little street. And we don't have lots of apartments or guest houses or other things that attract locals from all parts of town. You kind of have to want to go to Von Phister to go there. You don't just end up there on your way to someplace else.

This is not my listing, but don't let that stop you from calling me to show you this house. I won't steer you wrong because we could end up being neighbors. 1-305-766-2642. Or email at kw1101v@aol.com.

This Old House

The key requirement when purchasing an historic Key West home is that it be constructed of Dade County Pine. You can't buy Dade County Pine anymore, because it all got used. There is no "new" Dade County Pine because almost all the trees were cut down years ago. New pine comes from other areas now and are inherently soft and fast growing wood. Dade County Pine, on the other hand, is native to South Florida and is an aged wood of superior strength.

So what?, you say. This is what. Dade County Pine that is found in almost every old house in Key West is apt to be over 150 years old or older. Key West still has a few homes built in the early 1800s and many built soon after the Civil War. The Dade County Pine used to construct those homes was "old" when it was used, and by the passage of time that wood has become extremely hardened and resistant to termites. Many of the larger historic Key West homes were built by ship chandlers (builders or out-fitters). So the historic homes became desirable because of their character and the materials used in their construction.

I have mentioned several times that I used to own the Eaton Lodge guest house at 511 Eaton. That property is one of the great Key West homes. I learned first hand how damned strong Dade County Pine is when I did a little remodeling to a room in 1994. I removed one interior wall constructed of Dade County Pine. Big deal, you say. Yes it was, I say. The wall had Dade Pine on both sides and the 2x4's were also Dade Pine. And they were so strong that the Mikita reciprocating saw I used was almost useless. I remember swinging a huge sledge hammer at the wall that did nothing except exhaust myself. I think it took over two days to get the wall removed.

Here are some some photos of interior walls in a Key West home. Photo #1, Photo #2, Photo #3, Photo #4, Photo #5. CLICK each "Photo" to see the pictures. The pics demonstrate my reference to the construction method. This particular house is not a historic home other than it is old. I had one "fancy" Realtor get just damned irritated at me one time when he was showing his listing to me and my client and said the house was "historic". The house was a dog in a crappy location. I asked what historic event or what historic owner used to live there. He got real snippy after that...

If you think about how the big houses were constructed years ago they were made of Dade County Pine on the outside walls, the inside portion of the outside walls, the interior walls (both sides), the ceilings, and the floors. That is a lot of wood, and the houses are very strong because of it. Since the wood is native, it works well in this climate and environment. Homes that have been remodeled and homes that have been preserved and restored (as the case may be) are very sought after. Unfortunately, they are also very expensive. Even in today's market. CLICK HERE to checkout such a house located at 406 United Street in Old Town. I encourage you to checkout all of the photos in the link as they show several rooms where the Dade County Pine walls have been masterfully restored and put to excellent modern use. The house is actually a bargain by Key West standards. It is priced at $2,495,000 or $689 per sq ft. It was remodeled only a couple of years ago and many of the homes of that same time are being marketed around $200 per sq ft or higher.
CLICK HERE to perform your own search of Key West homes to see if you can find a house with Dade County Pine construction that you want to transform into your dream home in Paradise. It can happen. It just takes work. Then call me, Gary Thomas, at 305-766-2642 to schedule a showing. Who knows, you may end up owning a This Old House.