627 Southard Street Old Town Key West, Fl

Just Listed: 627 Southard Street Old Town, Key West, Fl. This 3 bedroom 2 1/2 bath has 2590 sq.ft of living space and is situated on a 3497 sq ft lot at one of the best locations in Old Town. The property is offered at $1,500,000 or $580 per sq ft. CLICK HERE for more info.

The house next door at 631 Southard Street sold in April 2006 for $2,250,000. CLICK HERE TO SEE PIC. That house was a superb renovation. It was originally priced at $3 million and eventually sold far below its true value I believe. I had a client submit an offer of $2.7 million cash which the seller turned down.

Just across the street at the corner of Elizabeth & Southard is another splendid house that is only 13 years old, so it is not a renovation. It was likewise price at $3 million and did sell at $2,680,000. CLICK HERE FOR PIC. This is a great home in a great location and has been featured in many publications.

I mention the surrounding homes because they reaffirm the value of this location. The house at 627 Southard is classic Key West Greek Revival architecture. The lines are beautiful. The architectural details are not visible from the photos, however.

The listing agent describes the property this way: "Distress sale! Bank says bring all offers. Best location in Old Town! Second floor completely remodeled - top of the line. All new foundation and sills. New central air two zoned central air. First floor ready to be finished. Complete set of plans available, including plans for third floor apartment. This is a potential short sale that may be subject to third party approval." The owner purchased the property in 2005 for $575,000. There is a $1,350,000 loan. I do not know the extent of the renovations and how much it will cost to complete the house. But that figure will surely weigh on any potential purchaser's mind. And the present lender will have to take the costs to make the property habitable into consideration when it evaluates any offers. I think this house is one of those buying opportunities some people dream about.

This property is a major risk-reward situation. The risk is buying in this devalued market and taking on a renovation project. The reward comes when the market bounces back because the house itself has the bones and location to justify the work necessary to revitalize the property. The construction business is way down right now in Key West and I think a well financed homeowner may be able to hire a good contractor at a good price.

My comments are based on suppositions I know. But this is a killer house in a killer location. Somebody will buy it. Time, price, and terms are the variables that will make up this deal. There are current comps a couple blocks east on Southard that could support a substantially lower offering price.

720 Eisenhower Drive Key West, Fl

720 Eisenhower Drive is not your typical Key West "Conch" house. The architecture is historic, the renovation is totally up to date and on the spot. And the grand residence is one of a kind for Key West or any other world class destination.

This is how the listing agent describes this property: Jefferson B. Brown, Florida Supreme Court Justice, built this mansion on its current site in 1889. Now completely restored, this award-winning 3 bedroom, 2.5 bath masterpiece could be expanded with approved plans for a garage and guest apartment and a third floor living area. Everything in the home is custom built and is controlled by a smart home system including the HDTV projection theatre room. Grand ceiling and door heights reveal historic beauty and design details at every turn. The downstairs master suite opens to the pool area and is complete with an enormous master bath. The lot occupies half of a city block. The pool is surrounded by an extensive lawn with off-street parking. Everything you could imagine and far more.

720 Eisenhower Drive is a 4200 sq. ft home that sits on a huge 12,675 sq ft lot. It is offered at $4,975,000 or $1185 per sq ft. CLICK HERE for more info and lots of pics.

The neighboring properties are quite nice as well. Last year I wrote an item about Paradise Harbor. CLICK HERE for pics and current listing info on the units as they now exist. Scroll down the pages. The properties are looking great and in an "up" market they would be gone. They are waterfront in a town with hardly any waterfront properties. Across the street in the 1500 block of Petronia is another development brand new single family homes. This is what I wrote last year CLICK HERE. Nothing has sold. Yet.

The house next door at 718 Eisenhower is just about as nice. It was on the market and priced at $4.5 million, but it has been withdrawn. CLICK HERE to check it out.

In a good market it would take a while for the right buyer to come along to purchase this property. It would take deep pockets, a love of the historic architecture of the house, a respect for how the house sits on the lot and blends with the surrounding properties, the appreciation for the quality workmanship and materials used in the renovation, and an understanding that what seems like a high price today may in fact be a real bargain in a few years. Markets rise and fall. We are in the depths of a bad market now. But the market will surely rise and a one of a kind house like this will always be appealing to those who appreciate the very best.

If your pocketbook can't afford this property, don't fret. There are lots of very nice homes in all price ranges. CLICK HERE to conduct your own search to find your slice of paradise and then call me, Gary Thomas, 305-766-2642 or e-mail me at kw1101v@aol.com for more info.

I See a new house in your Future in Key West

One of the advantages about growing older is that you can predict the future so much more clearly than younger folk. That's my story and I'm sticking to it.

I was an attorney and worked in the banking business in the 1970's through the early 1990's. I went through the Colorado crash. So I have real life experience in dealing with a depressed economy and a depressed real estate market.

I worked for the RTC (Resolution Trust Corporation--the federal government agency set up to clean up the savings and loan debacle) and managed problem real estate assets in a variety of locations across the country. So I think my observations about the present real estate situation in Key West may have some merit for those willing to read my thoughts.

The role of the RTC was liquidate the assets of failed S&Ls. The RTC actually facilitated the transfer of wealth from one group (the S&Ls and their subsidiaries and joint ventures) to third parties. In some instances the assets were extremely valuable and were sold for mere pennies on the dollar. The parties that purchased the assets did so at a time when the market was hesitant--just like it is today. They took a risk. But with that risk came the potential for huge reward. And those that bought the assets were rewarded handsomely.

I see the troubled times in Key West as being buying opportunities. Not across the board mind you, because some properties are still woefully overpriced. But there are specific properties in strategic locations that are now offered at prices below there real market value. And buyers who take the risk in this market at this time will be rewarded in the future for their real estate savy a few years from now.

Take this Classic Eyebrow House located at Campbell Courtyard. The street address is 617 Fleming Street. It sits at the back of the property so it is very quite and yet it is so close to everything that second home owners want in an Old Town property. And it has its own parking spot. This property is also a Short Sale meaning the seller is requesting the lender to accept less than par in the payoff of the mortgage against the property. CLICK HERE for more info and photos on this charming cottage at 617 Fleming Street, Old Town, Key West, Fl. It is now offered at $650,000 or $586 per sq ft. The house is two story, 3 bedrooms, two baths, and nicely appointed. There is a beautiful pool and gardens awaiting you.

Want to see this charmer? Give me, Gary Thomas, a call at 305-766-2642 or e-mail me at kw1101v@aol.com. This is a buying opportunity.

709 Windsor Lane Key West, Fl

Yesterday I wrote about Short Sale opportunities priced below $700,000. Well, this is a Big Boy Short Sale and it is a buying opportunity for someone with big ideas and a big budget.

709 Windsor Lane is like an island within the Island of Key West. The street address of 709 Windsor Lane and a small pathway are all that a pedestrian will ever see of this huge property. Access is actually gained off Bakers Lane which is in the middle of the block between Southard Street and Windsor Lane and sits at one of the highest points on Solares Hill right in the heart of Old Town.

This is how the listing Realtor describes the property: "Short Sale!!!Priced Below Mtg Balance!Must move Now! Ideal Old Town location on a Double Lot, just 2 Blocks to Duval and the local grocery...Two Off street parking Spaces available for Purchase off this private lane! Features include: 3BR/2 Bath main home w/gourmet kitchen, separate Whirlpool in master bath, Cabana w/Kitchen and 1/2 Bath, Outdoor Shower, Pool w/built-in Jacuzzi and Decks Galore on every side of this Entertainment Mecca!Separate 1BR/1 BATH Mother-in-Law apt w/Separate Entrance. Home does need some addtl TLC: Tenting and Wood Floor refinishing...All offers subject to Bank Approval.Bring All Offers. See MLS#105978/Adjacent to Property...May do Package Deal...Owner is FL Licensed RE Broker." CLICK HERE to see adjacent property on Baker's Lane. It is not necessary to own both properties, but it would be nice to control such a huge piece of ground.

The house was renovated several years ago and it reflects all that was current then. Meaning it needs to be redone. But this property is huge and it sits on a very large sunny lot in a very good location. The house has 3353 sq ft of living space and sits on a 6285 sq ft lot. It is priced at $1,250,000 or $373 per sq. ft. I haven't been in the house for a couple of years but I recall that it primarily needs cosmetic updating rather than structural repairs. So money spent would be going towards making pretty as opposed to making habitable. There is a big difference. Structural repairs are always more expensive in my opinion.

I see this property as an opportunity for someone with vision and some cash to turn a moderate investment into a significant estate-type property. A smart buyer can leverage himself into a very big property. Emphasis is definitely on smart. CLICK HERE for more details and photos.

Please call me, Gary Thomas, at 305-766-2642 or email me at kw1101v@aol.com for more information.

Short Sales in Key West

Short Sales in Key West. Can you believe it? This is the town where 3 years ago every property seller had the nerve to demand up to $1000 per sq ft for just about every piece of property in this town. It didn't matter where the property was located or its condition. The high price per square foot was imputed because of its being located in Key West.

Times have changed. There is a lot of inventory of homes that are either owned by banks or properties that are somewhere in the foreclosure process. I have assembled a list of properties for those adventurous souls who want to play Let's Make a Deal with the bank.

A Short Sale is a listing where the seller tells prospective buyers that the seller may be willing to sell below the fair market value of the house if the lender will accept less than payment in full of the mortgage held as security for the home and forgive any further indebtedness on the part of the borrower (seller).

Lenders usually are not willing to accept less than payoffs at par, but these are unusual times. Foreclosure rates are high across the country and Florida has an especially high rate of foreclosures in both numbers and percentages of homes being foreclosed. Most of the homes on the click list are in the New Town area of Key West, but there are a couple of Old Town homes included as well. spend some time going over the list. You may find a property that really interests you.

CLICK HERE for a list of Short Sale properties in Key West priced under $700,000. Each house shown in the photos is in the Short Sale pipeline.

If you are considering purchasing a more traditional type home or condo and don't want to play Let's Make a Deal with the bank, CLICK HERE to checkout all Key West mls listings and then give me, Gary Thomas, a call at 305-766-2642 or e-mail me at kw1101v@aol.com. I'm no Monty Hall. I won't leave you holding a pair of Jockey Shorts as a consolation prize.

Mangrove Mama

So I was driving back from Winn Dixie yesterday around 10:30 AM and got a view of this huge monster in the mangroves by Bay View Park. Since I don't drink, I knew I wasn't
"seeing things".

I went home and got my camera to go back and see if the monster was still there. And heavens to Nessie it was.

New York artist Cameron Gainer's sculpture of the Lochness monster was positioned Saturday near the corner of Eisenhower and North Roosevelt Boulevard. The piece is part of Sculpture Key West 2008.

That's part of why living in Key West is such a blast. You never know what you are gonna see. Ever. Everything is always different. Even the guy in the Jeep is oblivious to the Mangrove Mama.

627 Elizabeth Street Key West Open House Sunday

OPEN HOUSE Sunday January 20th 11:30 AM to 2:00 PM 627 Elizabeth Street in Old Town Key West.

Classic cigar maker's house in prime Old Town neighborhood that is near completion. Completely renovated with new second floor addition that is the master bedroom and en suite bath that overlooks the new pool and deck.

The house will be approximately 1369 sq ft under a/c when complete and will have 3 bedrooms and 2 baths. Everything, I mean everything, is new. The entry and hallway are unlike any you have seen in a similar cigar maker's cottage: the hall is vaulted to the ceiling. The ceiling of the great room is also vaulted so the room feels especially large. The kitchen is at the rear of the house and opens onto the new deck and the pool. CLICK HERE for more info.

The house is offered at $1,375,000. The renovation is expected to be completed in about 60 days. So stop by and take a look-see.

There are lots of homes available in the $500,000 to $1,500,000 price range. CLICK HERE to conduct your own search and if you see one or more that tickle your fancy and want to take a closer look, call me, Gary Thomas, 305-766-2642 or e-mail me at kw1101v.aol.com. Who knows you may be able to purchase your home in Paradise for a lot less than you thought was possible. Now is the time to buy in Key West.

The Poseidon Adventures in Real Estate

Way back on January 4, 2007 I wrote an item on this blog about Real Estate Cycles. GO HERE to read the item in full. But the gist is that there are a series of "events" that make up a "market cycle" including: euphoria, denial, recognition, panic, hope, and finally capitulation. I think we are in the capitulation phase right now in Key West.

I have often written about the historic sales season for Key West real estate that coincides with the regular tourist season. It has always worked the same way. Sellers list their homes for sale at the start of tourist season in hopes that their property will be exposed to the widest audience of potential buyers during that time frame. Tourist season begins at Christmas and ends at Easter. The Buyers disappear after Easter. Or so it seems. So the sales season is about 120 days long and sellers desirous of getting a deal done must do his best to get it done within that time frame.

This season things are very edgy. It's like The Poseidon Adventure in Real Estate. The world as we know it has turned upside down. We know the path to where we want to go is filled with formidable obstacles and treacherous waters. If we make a mistake we stand a good chance to sink with the ship. And even if we make it through the obstacle course, chances are good that we will have scars and memories that will never go away.

At the bottom of almost every blog entry I provide a link where buyers can search the Key West mls database. Buyers can see the same basic info that Realtors get to see. And see it in real time. What you can't see are the daily entries of new listings, price reductions, contingent sales, pending sales, solds, and expirations. But I can. And the number of Price Reductions that are happening is alarming. There are not just a few. There are a lot--everyday. It's like the sellers are finally coming to the realization that we are near the end of the first month of our sales season and that if they have not been getting any positive action on their property that maybe, perhaps, probably their sales price is too high. "Duh!" to quote Homer Simpson.

Yesterday for example one Broker/Owner reduced the price on four separate over-priced properties the Broker/Owner owned and this time included language that each individual may become a "Short Sale" requiring lender approval (shorthand for loan forgiveness) to get the deal accomplished. I specifically recall showing one of these properties in the early summer of 2005 when it was priced just around $1 million. Today it was reduced to $395,000. And it isn't even worth that much. I think the Broker/Owner has finally capitulated.

Yet there are still Realtors listing properties at prices that are out of touch with reality. You will note that I normally recite the price per square foot when I discuss a particular property. That is so the reader can compare other properties to make an evaluation of the real value of the particular property I am discussing. There are a few properties that are so well located and so perfectly done that they may qualify for an astronomical asking price, but the emphasis is on the word "few".

It will be interesting to see how the asking prices shake out during the next three months. The properties that are selling right now are following the traditional Key West sales pattern for years gone by: high end, very low end, and very well located and well priced Old Town homes. The stuff in the middle just languishes. If the market cycle theory holds true more and more sellers will capitulate and that, in turn, will drive more and more prices downward.

The Key West Association of Realtors is conducting a seminar today on Foreclosures. Imagine that. I managed foreclosures for a two major Denver banks for years. It will be interesting to see how much real world knowledge the lecturer can impart in the discussion. It will be equally interesting to see what kind of crackpot questions some of the Realtors come up with. They always do.

608 Angela Street Key West, Fl

Just Listed: The Philip Burton House at 608 Angela Street in the Heart of Old Town Key West, Florida.

Situated atop the much desired Solares Hill of Old Town sits this elegant single level conch classic has been extensively renovated and enjoys a pool and off street parking. Historically significant, built 1890, and the former residence of Phillip Burton this home welcomes you with a classic wrap porch, 12 ft ceiling heights, restored original windows and Dade County Pine walls and ceilings throughout. A thoughtful floor plan with 3BD/2BA and a fabulous open living area right off the tile pool and spacious patio. Finished in fine materials including Brazilian wood floors & brand new kitchen with stainless steel Viking appliances. Truly a signature Key West property known for its original natural Cypress siding and picket fencing. CLICK HERE for additional photos and more detailed info on this classic property.

The house is offered at $1,650,000 or $974 per sq. ft. The house is 1694 sq ft and sits on a 4118 sq. ft. lot near the top of Solares Hill. Yet it is only a two block walk to Duval Street. Additional info on 608 Angela Street HERE.

If this house is out of your price range, don't fret. There are lots of good properties available in all price ranges. Do your own search of all Key West listings by CLICKING HERE. Then please call me, Gary Thomas, 305-766-2642 or e-mail me at kw1101v@aol.com to schedule an appointment.

523 Louisa Street Old Town Key West, Fl

Just Listed: 523 Louisa Street, Old Town, Key West, Fl. Heres the deal: Transient License! Great rental history on this cute story and one-half conch house renovated in 2000 with new roof in 2007. First floor contains open living/dining/kitchen with a bedroom and ensuite bath. Upstairs is two bedrooms with adjoining bath between. Small lagoon style, black bottom heated pool added in 2003. Turn-key property. Strong advanced bookings for buyer to start with immediate cash flow. Must see for investors.

The offering price is $1,195,000 or $1106 per sq ft for this 1080 sq ft house that sits literally just a few feet off Upper Duval Street. The property is very well maintained as you can see by viewing the additional photos CLICK HERE.

This property is less than a 5 minute walk to South Beach so your paying guests can go to a real beach without having to rent a bike, drive the car, or take a taxi. Likewise, since it is just off Duval, your guests can easily walk to all that Duval has to offer for dining and nightlife. And they won't get lost. This property is professionally managed and rents for $3200 per week during season (12-25 thru Easter). CLICK HERE to checkout the availability schedule. The numbers speak for themselves on this gem.

CLICK HERE to checkout all current Key West mls listings and then give me, Gary Thomas, a call at 305-766-2642 or e-mail me at kw1101v@aol.com to schedule a showing.