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Lower Keys' Real Estate Forecast for 2021-2022
The Lower Keys residential real estate forecast for 2021 through 2022 is somewhat uncertain. Although there are current statistics, the lifting of foreclosure, short sale, and eviction moratoriums will have an impact on the market. But, it’s unknown at this time how it will manifest. Still, there are some figures and trends available to help estimate what might unfold through the remainder of this year and into the next. Read on to learn more about the Lower Keys residential real estate forecast for 2021 through 2022.
The Lower Keys residential real estate forecast for 2021 through 2022 is beginning on a high note, particularly for sellers. Presently, Key West, in particular, is experiencing a true sellers’ market. Homes listed for sale are going under contract in a median of 73 days on the market or just about two and half months. This follows a fairly consistent pattern from February, when the median days on the market stood at 60, and then in May when the median days on the market stood at 70.
Currently, the sale-to-list price in the Lower Keys is very high. Using Key West as an example again, the sale-to-list price is an impressive 98.84%, meaning homes are selling for only 1.16% under the listing price. At this time, the median listing price stands at right around $892.5K, which represents an increase of 19.2 percent in a year-over-year comparison. Additionally, the median list price per square foot is $680, with a median selling price of $750K.
The residential rental market remains fairly stable, with lease payments ranging from $2,000 up to $10,000 per month. However, as previously mentioned, the federal eviction moratorium is no longer in effect, which exposes the residential rental market to real volatility.
The Lower Keys residential real estate market forecast for the next few months of 2021 and into 2022 will not only be affected by supply and demand but also, the expiration of foreclosure and short sale moratoriums. Because these are now able to proceed, it could potentially lead to a rash of distressed properties coming onto the market in a short period of time. That would constitute a substantial disruption and one that might result in driving non-distressed properties down in value.
For the foreseeable future, the Lower Keys real estate market should remain stable, though it will likely slow going into the later months of the year.
What's New November 2022
Financing Options For Buying An Investment Property
Financing options for buying an investment property vary greatly in what they have to offer, so it's important to look at all aspects in order to make the best decision for your particular situation. When getting into real estate property investment, there are plenty of options. Some of which will better serve your purposes than others. Overall, these financing products are a way to get into real property investment and help you start building your real estate asset portfolio.
Financing options for buying an investment property come in a number of different forms. Although there are similarities among them, each of them has somewhat unique traits and that's where you really need to pay attention, so you choose the one that best fits your circumstances. Here are some of the most common financing options for buying an investment property:
- Conventional bank loans. These are common mortgage products and generally will offer the lowest interest rates and the most favorable terms. But, these usually require a substantial down payment and excellent credit history. Although, over the long term, these are typically the most affordable and therefore, the most profitable for property investors.
- Private money loans. Property investors may also be able to take advantage of what is known as a private money loan. Unlike traditional mortgage products, private money loans are made through specialized lenders who generally do not have as stringent requirements as traditional banks. Generally, these loans are made to property investors who will rehabilitate a residential unit for resale or to rent.
- Rehabilitation loans. Somewhat like private money loans, rehabilitation loans are also generally made for property investment purposes but do require certain refurbishment of the property that is either held and rented or flipped.