The Key Biscayne Real Estate Market Review 2021, gathers the most relevant information to help you keep updated on your housing investments.
I have gathered key metrics for you to learn how the Key Biscayne real estate market is performing. All the data represented has been carefully taken directly from the Miami Corelogic Matrix or MLS of Miami Realtors, to keep you informed with the most accurate information.
I’d like to add, it is important you learn where to listen or read about real estate. The media & most portals have a different objective with their information, they are more concerned about their ratings, monetizing or you can also find realtors who take advantage and use media information on their sales pitch. You see every market is different, and not all that the media says applies to the Key Biscayne market.
Right before the pandemic the period from 2017-2019 the economy was already slowing down, the Feds policies and measures taken at the time drove Key Biscayne housing market into a steep buyer’s market. Properties, in Key Biscayne, lost up to 30% of its value in some ranges.
Key Biscayne Real Estate Market
These last 2 years, Key Biscayne real estate market behaved very similar to some other areas of Miami, Fl. Sales rapidly increased with all the incoming buyers coming from all over the country.
The housing market, in Key Biscayne, had recently been struck by a strong buyers market. Contrary to some other products in Miami, both condos and single-family homes had a lot of inventory for sale, in Key Biscayne.
The appreciation behavior was more inclined to drive prices back to the 2017-18 levels , there was not a wild appreciation when you see it on a price line graph. Single-family homes had a median 7% appreciation, in 2021. And a compound up to 30% appreciation when compared to 2019. Key Biscayne did not experience a strong multiple-offer market as other parts of the country, there were a few sales closings above listing price but not across the board. As , I previously mentioned the market had too much inventory of homes listed for sale. Homeowner that were not successful at selling during the 2018-2019 period put their homes back in the market, lots of these homes never hit the market, they just sold off-market. Realtors that had previously been unsuccessful at finding the right buyer, now had too many buyers! Homes did not need any marketing efforts to sell, during 2020-2021.
Condo Market Key Biscayne
For the Condo market: 513 Properties sold compared to 212 properties sold during 2020 , cash sales went from a 122 to 258 a 47 % increase. Now, this result is a mix effect due to Mortgage Financing requirements being a lot more strict, as well as, interests yields moving up. Plus, all the relocation folks that sold their home brought their cash. Then, finally foreign nationals were able to travel, between the pandemic surges and mutations. All of these factors contributed to the increase of Cash closings.
Key Metrics for the Condo Market 2006~2021
Single-Family Homes Market Review, Key Biscayne
For Single Family homes we had 137 homes sold during 2021 versus 86 homes that sold during the same period, in 2020. Cash sales doubled to 82 cash sales, in 2021, versus 42 homes cash sales during 2020. It is an impressive number 61% of homes sold cash with a median average sales price of $ 2.846.000 or an average of $3,602.00 per Sqft (look at picture). If you would like to see 15 years of $ per Sqft for the Key Biscayne Single-family homes you can go to post Kb homes Appreciation I posted on June 2021.
It is important to understand how new construction has added value, there are 327 new construction homes built in the last 10 years. Almost a ¼ of all the Single-family homes, in Key Biscayne are basically new construction . This is a fact that needs to be keyed in, we cannot assume that Key Biscayne homes high prices are all caused by this pandemic high frenzy demand.
A quarter of homes in such a small market is considerable, hence a new price resistance line is very likely, as a result.
Moreover, when you put these facts together Key Biscayne real estate is a much stronger market. The amount of equity invested in cash , will play an important role on this new cycle the housing market is heading to.
Single-Family Homes in Key Biscayne starts 2022
Single family homes market in KB is still a very tight market with just 21 active homes for sale, as of January 1st, 2022. And roughly a ratio of 4 month worth of inventory supply.
I hope you liked the information I am providing you of the Key Biscayne Market Review for 2021, if you need more details regarding the KB real estate market, I am here to help you, remember to subscribe to my newsletter to keep updated with KB real estate.
Do Not forget “Much of our successes get lost for the lack of a little more”. Again, this is Beatrice Ponce at WhyKeyBiscayne.com
