Coldwell Banker Schmitt’s Luxury Island Properties: Spring 2024 Market Report
The luxury real estate market in the Florida Keys has seen some fascinating trends in the first half of 2024. Despite various economic challenges, the market has shown resilience and adaptability. Here’s a comprehensive look at the key points from the recent reports.
Sales Performance
- Overall Sales: There was a slight increase in luxury home sales, rising from 214 in 2023 to 227 in 2024, marking a 6.1% increase.
- Regional Highlights:
- The Middle Keys saw the most significant growth with a 55.6% increase in sales.
- Key West experienced a 10.3% increase.
- The Upper Keys, however, saw a decline of 8.5%.
Pricing Trends
- Average Sale Price: The average sale price for luxury homes stood at $2.56 million in 2024, a slight decrease from $2.62 million in 2023.
- The Upper Keys had the highest average sale price at approximately $2.78 million.
- Dollar Volume: The total dollar volume for luxury home sales was around $581.7 million, showing a small increase from $561.3 million in 2023.
Market Dynamics
- Days on Market: On average, luxury homes took 90 days to sell in 2024, slightly up from 80 days in 2023. The Upper Keys had the shortest time on market at 85 days.
- Price Adjustments: The average price reduction before a sale was about 4%, up from 3.6% in the previous year.
Current Listings and Inventory
- Active Listings: There were 536 active luxury listings in 2024.
- Months of Inventory: The market had about 9.4 months of inventory, indicating a balanced market.
Pending Transactions
- Pending Sales: At the end of the first half of 2024, there were 58 pending transactions, showing a healthy pipeline of upcoming sales.
Key Takeaways from Submarket Analysis
- Sales Decline: Sales were down 8% Keys-wide, with Key West seeing the most significant drop at 25%.
- Price Increase: The average sale price increased by 14% Keys-wide, demonstrating strong demand for luxury properties.
- Inventory Levels: The number of new listings increased by 20% Keys-wide, with substantial growth in the Lower Keys (83%) and the Middle Keys (42%).
Desirable Home Features
Today’s luxury homes are not just about opulence but also about functionality and wellness. The most desirable homes feature:
- Chef’s kitchens with advanced appliances.
- Spa-like bathrooms with freestanding soaking tubs and hydrotherapy showers.
- Smart home technology for enhanced comfort and security.
- Outdoor living spaces with entertainment areas, water features, and resort-style amenities.
Conclusion
The luxury real estate market in the Florida Keys remains robust, with strong demand and strategic pricing. For buyers, this means a diverse range of properties to choose from, and for sellers, an opportunity to capitalize on the growing market trends. Stay tuned for more updates as we continue to monitor and report on these exciting developments.
