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29th and Chase: Jacksonville Neighborhood Sees 326% Home Price Surge Amid Declining Ownership
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
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Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
The 29th and Chase neighborhood in Jacksonville, Florida, has undergone a significant transformation in its housing market over the past decade. This area has experienced a notable shift in homeownership rates, coupled with substantial fluctuations in average home prices and rent costs. The neighborhood has witnessed a general trend of decreasing homeownership and rising property values, reflecting broader economic and demographic changes in the region.
Homeownership in the 29th and Chase neighborhood has shown a consistent decline from 2013 to 2022. In 2013, 60% of residents owned their homes, but by 2022, this figure had dropped to just 35%. This dramatic shift coincided with a substantial increase in average home prices. In 2013, the average home price was $26,566, but by 2022, it had skyrocketed to $113,346, representing a 326% increase over nine years. This inverse relationship suggests that rising home prices may have priced out many potential buyers, leading to a decrease in homeownership.
Federal interest rates have played a significant role in shaping homeownership trends. From 2013 to 2016, interest rates remained below 0.5%, coinciding with relatively stable homeownership rates around 55-60%. However, as interest rates began to rise from 2017 onwards, reaching 1.83% in 2018 and 2.16% in 2019, homeownership rates dropped more sharply, falling to 39% in 2018 and 41% in 2019. This trend illustrates how higher interest rates can make mortgages less affordable, potentially discouraging homeownership.
As homeownership declined, the percentage of renters in the neighborhood increased from 40% in 2013 to 65% in 2022. This shift was accompanied by a rise in average rent prices, from $745 in 2013 to $805 in 2022. However, the increase in rent prices was not as dramatic as the rise in home prices, potentially making renting a more attractive option for many residents. The population of the neighborhood fluctuated during this period, peaking at 2,149 in 2019 before declining to 1,688 in 2022, which may have influenced the demand for rental properties.
In 2023 and 2024, the average home prices in the 29th and Chase neighborhood continued to rise, reaching $114,875 in 2023 and $115,128 in 2024. This represents a slight slowdown in price growth compared to previous years. Concurrently, federal interest rates increased significantly to 5.02% in 2023 and 5.33% in 2024, potentially impacting homebuying affordability and market dynamics.
Looking ahead, predictive models suggest that average home prices in the 29th and Chase neighborhood may continue to rise over the next five years, albeit at a more moderate pace. Average rent prices are also expected to increase, potentially driven by the growing demand for rental properties as homeownership rates remain low. However, the rate of increase for both home prices and rents may be tempered by economic factors and the neighborhood's population trends.
The 29th and Chase neighborhood has undergone a significant transformation in its housing market over the past decade. The most notable trends include a sharp decline in homeownership rates, a substantial increase in average home prices, and a rise in the renter population. These changes appear to be influenced by broader economic factors, including fluctuations in federal interest rates and local market dynamics. As the neighborhood continues to evolve, it's likely that the balance between homeowners and renters will remain a key factor in shaping its residential landscape and community character.
