Florida Keys Market Update

The Florida Keys market is price-positive and supply-tight heading into late 2026. The Keys-wide average sale price reached $1,216,424 in the first half of 2026, up 13.3% year-over-year, with total sales up 11.7%. Active residential inventory fell 9.5% year-over-year in June, and single-family supply was down about 15% in August, a reversal from the looser picture at the start of the year.

Waterfront is the market's engine. The average waterfront single-family home sold for $2,282,750 and waterfront sales made up roughly 55% of residential dollar volume. Key Largo and Islamorada continue to see the strongest demand for luxury waterfront, while Marathon and Big Pine Key offer more accessible price points with steadier appreciation. Tavernier remains a value play, offering Upper Keys convenience at a lower median list than its neighbors.

The one soft spot is canal-front: sales there surged about 59% while average prices dipped roughly 9%, as an older band of canal homes drags the average even as top-tier open-water sales pull it up. Non-waterfront homes remain the most negotiable tier, with longer days on market.

Insurance costs remain a significant consideration for buyers. Properties in lower flood zones or with newer construction can offer meaningfully lower annual premiums, and pending flood map updates are on buyers' minds. My contractor and inspector background helps me evaluate these factors during the buying process.

The Conley Sales Group tracks these trends daily. For a property-specific analysis or a deeper dive into any of these areas, please reach out.