We all know that our real estate market has been a roller coaster ride this decade. I find it interesting to go back and look at how prices have changed dramatically over the years in one Key West neighborhood.Any one who has spent much time in Key West off Duval Street probably has heard of Key West Estates nick named "Smurf Village". Why the Smurf moniker? Some say that the mansard style roofs make them look like mushrooms where the cartoon Smurfs makes their homes. These homes, in New Town on Duck, Eagle and Harriet Ave, four to a building have been popular entry level homes for Key Westers since built in the late 80's.
When built they were all the same size 1040 square feet, 2 bedrooms and 1.5 baths. Over the years there have been many transformations. The owner has a yard, owns the land and can make many improvements, adding a pool, an addition, enclosing a porch, etc., but it is always a "Smurf".
In the 90's I remember being in discussions with other Realtors, while on caravan if we thought a Smurf House would ever sell for more the $100,000. The collective answer was "no way” shows how savvy real estate agents are. In 2004 one of these town homes sold for $519,000. That was the last sale in 2004. The first sale of that year was $345,000. That is a 50% increase in one year! Where are we now? With a scourge of foreclosures and short sales the average Smurf sales price in 2009 is $166,106. How many years ago was that the average price? The closest that I can tell is 2001, the year of the attack on the World Trade Center. We have stepped into the time machine of real estate travel and gone back 8 years. The good news is that you cannot buy a Smurf house today. They have all been bought. The last several that came on the market had multiple offers within days (a bidding war). This tells me that we will see an increase in prices to satisfy demand. Yes in Smurf Village they have hit bottom and the upward movement of prices is now here.
Key West Estates is a cute neighborhood. Great for a first time buyer.
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