Another Knock Knock Story. No Joke.

About twenty years ago I was working with working with a gay couple who lived in the Virgin Islands and wanted to relocate to Key West to purchase a guest house.  There were only a few properties listed for sale at that time.

The listing Realtor was also the owner. He operated the business as a passive investor and was not involved in the day to day operations. He told me his manager would show the property. I set up showings for my customers and mentioned to a woman agent in my office that I would be showing Newton Street Station, an all gay male guest house. She had first hand knowledge about the place because she lived across the street and was intimately aware of it as she had watched the manager greet new guests in the nude for years. She had shown the property to prospective buyers and  said the manager conducted showings in the nude.

I searched our kegacy MLS files but could not find any listing photos from when the guest house was offered for sale. The photo below dates back to 1970 and appears to show some renovations underway. The property was located in The Meadows Area of Key West and about as far away from the excitement of Duval Street as one can get. The property looked pretty much the same in the late 1990s when I showed it. 

I told my customers what to expect. They took it in stride. I do not recall much of anything about the property as I avoided looking at the obvious. (I don't know why some men feel the need to show off - especially if they are too old to do so.) Over the following months I showed the guest house several more times to both gay and straight buyers. The manager always opened the door in the nude and always conducted the showings.

During that same time period I had a listing on a different guest house. I remember showing it afternoon when the buyers' agent mentioned he was going to show Newton Street Station right after leaving my listing. I warned to expect the manger to greet him and his customers in the nude. He was shocked but appreciated the warning. A few days later that agent and I ran into each other. He thanked me for the warning. He said had warned his straight buyers from the Midwest so they were not shocked.

Doubting Thomas

I may have shared this little story with my readers before.  I bears repeating nonethless.

Sixteen years ago the Key West real estate market was soaring to new heights. Previous sales prices were replaced by even higher prices throughout the city.  Sellers were giddy.  My pest control guy was a multi-generation Conch. In addition to his business and family home, he had purchased two or three small houses which had appreciated. He sold everything and moved to Ocala with a wad of money in his pocket.  A lot of other Conchs did the same. Many left Key West with over a million dollars in cash. Others just waited to sell their houses for a whole lot of money. They were sure someone would pay their price.

I was working at Prudential Knight Gardner Realty on Duval Street and had floor duty one day when a really nice woman and her friend walked in. The woman and her male cousin had inherited a house from their grandparents who had no adult children. The woman and cousin were the sole heirs. She wanted to list the property and asked me to take a look. I did and eventually listed it for around $775,00.

The house was an unassuming mid-century in the New Town area of Key West. The owners had updated it with a Home Depot kitchen and baths. The updates were cheap and looked cheap. The house was clean and showed okay. There was no pool. The 1,600 sq ft house sat on a nearly 6,000 sq ft lot covered with pea rock. It was fugly. But that was fixable. I held many open houses. I had many showings. Fugly is always hard to sell unless priced low enough for it to be perceived as a value.

One day I showed the house to a part time Realtor who was also a CPA. His customer (a widow spending her late husband's life insurance proceeds) made a cash offer of $750,000 to buy the house which had been on the market for about half a year (during a soaring market). While the dollar amount was an almost ten per cent discount to the asking price, the house had no other offers.  My sellers asked my advice. The woman had seen the house and knew it was fugly. Her cousin had not. They thought they might get more money if they waited. I urged them to take the cash offer. I didn't know if the house would appraise. I really doubted we would get any higher offer. I told them that you never know what tomorrow will bring. Nobody does. Ever.

The sellers accepted the $750,000 cash offer. We closed a few weeks later. The sellers inherited the property free and clear of any mortgage. They were the beneficiaries of a big cash payout. They had questioned the deal. But they accepted my advice and agreed to move on.

Seven months later Hurricane Wilma struck Key West in October 2005 and flooded that house and just about every other house in the New Town area. I drove by my former listing a few days after the hurricane. Everything from the inside had been dragged to the street. I felt sorry for the buyer who bought the place as an investment and for her tenants. The house sat empty for months. The same house has been on the market for over two years priced significantly below the price my sellers obtained. It is still fugly only more so!

I think a lot of sellers over think real estate deals. Of course there may be a better outcome if you wait long enough. But if you wait too long, something else like a hurricane or pandemic, or war or whatever could also happen. A known outcome may outweigh a lot of what-ifs. 

Laurel Canyon

If you have not returned back to work and have viewed everything on NETFLIX and AMAZON PRIME and are completely over the hourly chaos on MSNBC and CNN,  I suggest you check out epix two-part documentary LAUREL CANYON.

If you are a child of the 50s, 60s, of 70s you will easily recall the music and the musicians who took over the Los Angeles hillside area known as Laurel Canyon. The houses where they lived were constantly referred to as "cheap" and their environment as "paradise".

Frank Zappa's Cabin

I have started this blog several times and deleted it. I decided I have been too wordy because I really want people to watch this. When you hear the first few cords of a song or see Jim Morrison's face, you are pulled back to that moment of time. You will be hooked.

The second and final episode aired a few days ago just as all hell was breaking loose across America - in real time.  That episode dealt with the social issues of  the 1960s and 1970s and how the music evolved. Just as my generation was horrified by the Kent State massacre, the world has been horrified by police misconduct across America.  Neil Young's music galvanized a generation.  History repeating itself can be really scary or can inspire change. Watch Laurel Canyon.

912 Fleming Street, Key West - Sunday Open House

Are you looking for a home big enough for all your little'uns with separate bedrooms for each and a beautiful garden and pool?  Head over to the Open House at 912 Fleming Street Key West between 12 to 2. Please remember to wear your face mask.

The 3,228 Square Foot House has 6 bedrooms, 5 1/2 bathrooms, a 30 Ft Heated Pool and Spa situated on 113' X 50' Sq Ft lot in the Heart of Old Town. The pool is totally private - no prying eyes and it has a multi-million dollar view. You really need to check it out. CLICK HERE FOR MORE PHOTOS.

CLICK HERE  to view the Key West MLS data sheet for more information.  Gary Thomas, 305-766-2642, is the listing agent at Preferred Properties Key West will be hosting the open house.

1116 Seminary Street, Key West - Buying Opportunity in the Casa Marina Area

The listing Realtor describes 1116 Seminary Street located in the Casa Marina Area of Key West this way:

"LOCATION, LOW MAINTENANCE & HIGH CEILINGS... This property has everything you want! The private front porch is crisp and freshly painted waiting for you to enjoy your morning coffee. As you walk into the front door you are greeted with an open floor plan with high ceilings, bamboo flooring, large windows and french doors with the outdoors peeking into every opening. The large master bedroom was added on in 2004 and has an en-suite bathroom, walk in closet and two sets of french doors that open to the fully decked backyard. The kitchen opens up to the outdoor space which includes a modern, perfectly sized swimming pool."

I looked in my old shoebox and found a photo of the same home taken 55 years ago. The facade is a locally manufactured stone facing called "Indian Stone". There was a trend in the 1950s to update ones' home by adding "Indian Stone" siding over the original wood siding. The stone facade has been painted white and presents nicely to the street. Today there are two off street parking spaces as well as the expansive bricked entry.

The interior of this home has been updated to provide contemporary living spaces. You enter into open concept living area which flows past the kitchen at the rear and out to the pool. That's the view everybody wants to see when they return from work or the beach.

The third bedroom is located at the front of the house. This owner uses this as a media room. The sofa sleeper converts to a bed for the occasional guest.

The second guest bedroom is located on the east side of the main entry. It is a spacious room with a nice garden view.  A door opens into the spacious guest bath which has a separate entrance off the main living area. 

1116 Seminary Street is located about six blocks north of the White Street Pier (photo below shows the pier in the 1970s) and Higg's Beach. The annual 4th of July fireworks display will occur again this year from that pier. It's a comfortable walk to one of the community's favorite events. Faustos' Food Palace is two blocks to the north. The recently Key West city hall is located across the street. There is no traffic access into or out of the parking onto Seminary Street. Oh, and the Dairy Queen is locate about five minutes away as well.

CLICK HERE to view the Key West MLS datasheet and more photos of 1116 Seminary Street, Key West offered for sale at $1,200,000. Then please call me, Gary Thomas, 305-766-2642, to schedule a private showing of this Casa Marina home. I am a full  time Realtor at Preferred Properties Key West. I consider this house a buying opportunity because it has it all. Two recent sales over $1 million each took down mid-century homes to build new homes. This house is in move-in condition. I live in the area and help you find your dream home at the end of the rainbow.

True Key West Real Estate Related Stories in the Time of Covid-19 Part Five

Since the real news over the past few days has been so frightening, I thought I would share another true real estate related story from Key West. The real estate angle of this story relates to the oddity but real fact that four businesses offering the same service are located on the same block in our town. I have chosen to portray the businesses as a DVD rental stores.

So I went into the DVD rental enterprise to rent a DVD. I knew the owner.  We were talking about life in Key West. I asked the owner why there were four DVD rental stores on the same street. The owner said it just kind of happened that way. Each owner gets his/her share of the regular and walk-in trade. Then the owner told me something I had never heard about one of the other DVD stores. It's a front for what goes on in the back. The owner of one particular DVD store is a dominatrix. What?

The DVD store owner told me the dominatrix has her "regulars". Excuse me, there is nothing "regular" about this - even for Key West! But what do I know about what straight people do for fun. 

Yesterday I blogged about the empty storefronts on Duval Street.  If you are looking for a place to open a DVD store, there may be a location available.

Key West Real Estate Sales Report - June 2020

Even before the world wide pandemic set in, it seemed to me that the Key West real estate market was taking a breather from the previous years of market upturn. Numerous businesses on Duval Street were vacant. I felt the market had paused. Buyers were waiting for greedy sellers to come to their senses and stop the over-reaching to which so many are inclined. Then the City of Key West and Monroe County shut down the city and access to the Florida Keys. US 1, the only road into the Keys, was road blocked. Vacationers were forced to leave the Keys. US 1 reopened on June 1st.  People have started to return. 

The real estate market did not cease to function after the lock down. There were new listings and some of those listings sold quickly. I did not sense that any of the new listings were panicked listings. There were many, many price reductions. One agent told me she lost seven deals where buyers pulled out after the shut down. So there is a mixed bag of upside and downside.

I performed a simple search of single family home sale in the Old Town and Casa Marina areas by number of homes sold, average sales price, and price per square foot for the seasonal time period of  January 1st to June 1st for each year starting in 2013 through 2020.

I defined Casa Marina as that area on south side of United Street to the Atlantic Ocean and the west side of White Street to Vernon St. I defined Old Town as the north side of United Street to the Gulf of Mexico and the west side of White Street to and including Truman Annex and Sunset Key. I did not include any sales east of White Street for either market area. I knew prices had risen dramatically but suspected sales would there would be fewer sales in each area in 2020. I was wrong.

CASA MARIA
 

Year	No of Sales	Avg Sales Price	Price Per Sq Ft
2013	7	$1,594,687	$581
2014	11	1,660,785	657
2015	8	1,452,000	704
2016	8	1,591,875	711
2017	8	1,804,000	693
2018	7	1,413,333	728

              2019                    5            1,389,800                    737
              2020                    9            1,191,899                    777


June 2020 Current Inventory of Unsold Single Family Homes on the Market
                                          8          $1,786250                      858

OLD TOWN

Year	No of Sales	Avg Sales Price	Price Per Sq FT
2013	65	$748,572	$501
2014	106	862,082	547
2015	73	952,065	633
2016	147	936,775	591
2017	46	992,965	700
2018	40	1,257,904	789

 
   2019                                    58           1,196,788                840
   2020                                    96           1,217,035                821

June 2020 Current Inventory of Unsold Single Family Homes on the Market
                                               64       $1,659,347                  836

I went back to recheck the 2013 and 2014 sales. I was amazed to see how many homes sold in those years and at the price appreciation that has occurred since then. I intuitively knew that many of those houses have sold once or twice during the six or seven years. But as I looked at the prices which they sold for then as compared to more recent sales, I was awed.

We continue to sell and re-sell the same houses as sellers die, divorce, or move-up to a larger home. Not all houses have appreciated. Some went down or side-ways. But most did appreciate.  The neat thing about owning a house in Key West is that you can use it.  You can escape the cold of up north, get away from the craziness, the cars, the noise, the chaos.

If you have been sitting on the sideline waiting for the axe to fall, you may want to rethink your strategy.  If you are looking a for a Realtor to help you find a place in Key West, consider calling me, Gary Thomas, 305-766-2642. I am a full time Realtor at Preferred Properties Key West.

June 2020

 June 2020

June 2015

This has been one of the saddest weekends in American History.  I am not taking a stance for or against anything.  I feel really sad for our country. 

Key West Real Estate Trivial Pursuit - Part Two

Think back at these older  pics of  Key West. Where is/was the house or building located?

EDIT: Since nobody played I will give you the answers.

Number 1 720 Waddell Ave. Casa Marina. Photo taken after Hurricane Wilma - not Irma.

Number 2  1400 Whalton St taken in 2007 the large green lawn is now gone. Two new houses replaced the decades old grass lawn obliterating a Key West landmark property. Shame on HARC.

Number 3   1100 Flagler Avenue  This photo is at least a decade old.

Number 4  1025 Johnson St. Formerly a one floor mid-century modern owned by Aldous Brown. When his life passed away, Aldous came out as gay at around age 88 or so. What a gent he was.

Bonus Points if you know who lived there before...

Number 5 626 William former home of Broadway impresario Jerry Herman (Hello Dolly!) who renovated this home and others together with his partne.

Number 6   418 William Street

Number 8   1012 Southard Street  photo taken 2011 or 2012

Number 9  Gordon Food Service mall at 2508 N Roosevelt  Put the two store signs together to form a single phrase.

I had to stop my car, get out, and photograph this sign.

Number 10   405 Frances St  the site of one of my Key West Real Estate Horror Stories

Number 11   319 Grinnell St. Bank foreclosure with several illegal units including first floor rear that had been "remodeled" and included a totally exposed toilet in the kitchen. Kid you not. During the renovation shown below the house was burned. The fire damage was repaired.

Number 12  Former hospital, then law offices on Eaton Street. I sold this property shortly before Hurricane Wilma. This building is now a part of The Saint Hotel. This was probably the toughest deal I ever did.

Number 13     916 Fleming Street during renovation a decade ago.

Number 14  The Key West trailer was owned by the Catholic Church and located at the corner of Simonton and Virginia. It was populated by big shady trees and some shady people - and nice Key Westers.

Number 15

1212 Olivia Street as it appeared a decade ago. It was the carriage house adjacent to the larger estate next door to the east. It was sold off then foreclosed upon. It appeared in my blog the day it was listed for sale as a bank owned house. A lot of offers were made immediately. Local designer Ben Teague did the redo of this home which subsequently appeared on HGTV.

Number 16

720 Eisenhower Drive photographed in 2006 or 2007 while the old house was being renovated.  The house occupies the entire north side of Petronia Street.

Number 17

The corner of Duval and Petronia Streets. I took the photo in 1985 or 1987. This is what much of Duval Street looked like back in the day. We had lots of Conch cruisers as compared to the SUVs and luxury imports all over the island these days.