Florida Keys Real Estate Market Continues Strong Growth as Sales and Prices Rise

October 22, 2026 - 02:14

MARATHON - Real estate across the Florida Keys accelerated through the first half of 2026, with total sales up 11.7% and the average sale price rising 13.3% year over year, according to newly released market data.

The figures show a market that has maintained momentum despite broader concerns about affordability and insurance costs in coastal Florida. Transaction volume increased across most property types, with single-family homes leading the way. Condominium sales also posted gains, though at a slower pace.

The average sale price climbed to a level that would have seemed improbable just a few years ago. Inventory remains tight, and buyers continue to compete for a limited number of listings. Agents in the region describe a market where well-priced properties move quickly, often drawing multiple offers within days of listing.

Several factors are driving the trend. Demand from out-of-state buyers remains steady, particularly from the Northeast and Midwest. Remote work arrangements have made it easier for some purchasers to commit to the islands full time. At the same time, new construction has been limited by land constraints and strict environmental regulations, keeping supply constrained.

Local brokers note that the market has become more segmented. Waterfront properties and homes with dockage command significant premiums, while inland properties see more moderate appreciation. Cash purchases remain common, reducing sensitivity to mortgage rate fluctuations.

Looking ahead, analysts expect continued upward pressure on prices, though the pace of growth may moderate. Rising insurance premiums and storm-related concerns remain wildcards that could affect buyer sentiment in the months to come. For now, the Florida Keys market shows little sign of cooling.