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Dubai, UAE US |
Dubai US Market Research
Key West, FL housing market
Housing market indicators
| Indicator | 2022 | 2023 | 2024 | 2025* | Change | 2022 | 2023 | 2024 | YTD |
|---|---|---|---|---|---|---|---|---|---|
| Median Listing Price per Square Feet | $917 | $949 | $903 | $871 | 14.3% | 3.5% | -4.8% | -3.5% | |
| Active Listing Count | 773 | 1,091 | 1,366 | 1,176 | 54.9% | 41.1% | 25.2% | -13.9% | |
| Median Days on Market | 91 | 72 | 86 | 104 | 21.3% | -20.9% | 19.4% | 20.9% | |
| Share of listings with price increase | 0.8% | 0.6% | 0.5% | 0.5% | |||||
| Share of listings with price decrease | 12.3% | 15.6% | 17.5% | 16.9% | |||||
* last available value
Home prices
Short term housing supply drivers
Long term housing demand drivers
Long term housing supply drivers
Note: 12M MA - 12 months moving average, Permits - New Private Housing Structures Authorized by Building Permits. Source: FRED
Housing market overview
Key West, FL MSA Overview
- The Key West, FL Metropolitan Statistical Area (MSA) primarily encompasses Monroe County, including the city of Key West and surrounding areas in the Florida Keys.
- Total MSA population approximately 82,000, with Key West city at 25,000-26,000.
- Key geographic regions: Key West (main island city), Stock Island (adjacent to Key West), and Lower Keys (including areas like Big Pine Key and Key Deer refuge zones).
- Land constrained by ocean surroundings, total metro density around 84 people per square mile.
Cities/Towns Table
| Area | City/town | Population | Density | Income (high/low/...) | Quality of Schools (Great Schools rating range) | Crime level | Property tax (%) | Comments |
|---|---|---|---|---|---|---|---|---|
| Key West | Key West | 25,240 (2025 proj.) | 4,612/sq mi | High (median household $78,532, avg $129,761) | 5-7/10 | Moderate-high | 0.8-1.0% (Monroe County) | Tourist hub, county seat, declining pop -1.11%/yr |
| Stock Island | Stock Island | ~4,000 | High (island dense) | Medium (metro avg $80,111) | 4-6/10 | Moderate | 0.8-1.0% | Working-class, marina/boatyard focus, adjacent to Key West |
| Lower Keys | Big Pine Key / Ramrod Key | ~5,000 combined | Low (83.4/sq mi metro avg) | Medium-high | 6-8/10 | Low | 0.8-1.0% | Residential, nature preserves, less tourism |
To view all table columns, please open this table on a laptop or desktop screen.
Citizens: Income and Education
- MSA median household income $80,111; Key West city median $78,532, average $129,761, per capita $46,002.
- Poverty rate 11.08% in Key West.
- High income variability: married families median $109,149, non-families $59,986.
- Median age 46.5-48 years across MSA.
- Racial mix: 66.6% White, 12.1% Black, 14.2% two+ races, 4.5% other, 2.3% Asian.
- 22% Hispanic/Latino; historical Cuban influence strong.
- Education levels above national average due to tourism/service jobs requiring some college; bachelor's degrees common in professional sectors.
- Workforce skews toward experienced residents, with 21% foreign-born tied to hospitality.
Key Economic Sectors
- Tourism dominant: visitor attractions, Duval Street bars, historic sites, water sports.
- Hospitality and food service: hotels, restaurants serving 1M+ annual visitors.
- Maritime: fishing, boating, yacht repair on Stock Island.
- Military: Naval Air Station Key West supports ~5,000 personnel.
- Real estate and retirement services: second homes, vacation rentals.
- Small-scale commerce: arts, crafts, conch republic branding.
Housing Buying Market: Supply Drivers
- Zoning restrictive: height limits (Historic District 25-40 ft), 70% land in preservation zones.
- Regulatory strictness high: coastal construction controls, flood zone mandates, environmental reviews delay builds 12-24 months.
- Construction workforce cost elevated: labor shortage, 20-30% premium over mainland FL due to island logistics.
- Land scarcity: 5.6 sq mi for Key West city, metro housing gap projected 419 units by 2030.
- Material transport costs 15-25% higher via Overseas Highway or barge.
- New supply minimal: <100 units/year permitted, focused on multifamily/infill.
Housing Buying Market: Demand Drivers
- Net migration positive but slow: retirees from Northeast, remote workers post-COVID.
- Tourism growth steady at 2-3%/yr, boosting short-term rental demand.
- Military stable, no major expansion/decline.
- Declining local population (-5.31% since 2020 in Key West) offsets some pressure.
- Wealthy investor influx for luxury condos, driving median prices $1.2M+.
- No major growing industries; tourism plateaued post-pandemic.
Key Challenges on the Housing Market
- Affordability crisis: median home $1.1M, 13x median income.
- Hurricane risk: Category 5 exposure, insurance premiums $20K+/yr.
- Short-term rental saturation: 40% units Airbnb, reduces long-term stock.
- Sea-level rise: 1-2 ft projected by 2050, eroding buildable land.
- Labor shortages inflate rehab/new build costs 25% above FL average.
- Population decline signals weakening local buyer base.
- Regulatory backlog: permitting times double mainland due to FEMA/Monroe rules.
Investment Potential Table
| Area | Appreciation potential | Risk | Key drivers |
|---|---|---|---|
| Key West Historic Core | High | High | Tourism resilience, limited supply, luxury demand; offset by storm/regulation risk |
| Stock Island | Medium | Medium | Marina redevelopment, affordable entry vs Key West; workforce housing demand |
| Lower Keys | Low-Medium | Low | Stable residential, nature appeal for retirees; slow growth, flood vulnerability |
- Overall MSA appreciation tempered by supply constraints and climate risks.
- Historic Key West premiums likely hold 4-6%/yr short-term.
- Periphery areas offer value plays amid metro population stability.
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