33043
Key West, Florida

The 33043 ZIP code in Key West reports a median sale price of $864,000 as of February 2026, reflecting a sharp 16.8% year-over-year appreciation. However, market velocity tells a different story, with properties averaging 143 days on market and only 4% of homes selling above list price. This disconnect between price growth and absorption rate suggests demand is present but selective, with buyers taking considerable time to commit despite continued upward price pressure.

Patient buyers with strong financing gain the advantage in this environment, as the 143-day marketing period provides substantial negotiating runway compared to competitive coastal markets. The 4% above-list-price metric indicates minimal bidding war risk, favoring those who can conduct thorough due diligence without urgency. Sellers who priced correctly are still capturing the 16.8% annual appreciation, but the extended days-on-market figure punishes overpricing more severely than in faster-moving submarkets.

The PropIQ score of 51 signals neutral-to-cautious conditions, suggesting the 16.8% appreciation rate faces sustainability questions given the slower transaction velocity. Monitoring month-over-month DOM trends will be critical—if the 143-day average extends further while price growth persists, expect inventory accumulation and eventual price corrections. The current data configuration indicates a market transitioning from seller-favorable to balanced, with the next 90 days likely determining whether appreciation moderates or velocity accelerates to match pricing momentum.