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Miami-Keys trip - car rental and hotel questions

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My adult daughter and I are spending the first week of March at Miami Beach and sometime during the week want to drive down to Key West for a night. Should we rent a car right at the airport and keep for the week or take a cab to the hotel and rent only for the days we are travelling? Airport rates are often higher. Also, should we have our hotels booked in advance or just book the first night and then decide from there? In Miami or South Beach looking for nice pool, beachfront, easy to walk to restaurants, not much for shopping unless it's in quirkier small shops. Key West looking for a nice sunset view. Under $250/night if possible. Thoughts??

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