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Average Home Values and Ownership in Zip Code 08028: Glassboro's Evolving Housing Market
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
Glassboro, New Jersey, zip code 08028, is a dynamic area that has experienced significant changes in its housing market over the past decade. This analysis examines the trends in homeownership rates, average home prices, and average rent prices, providing insights into the evolving real estate landscape of this community.
The homeownership rate in Glassboro has shown a gradual decline from 2013 to 2022. In 2013, 68% of residents were homeowners, but by 2022, this figure had decreased to 64%. Concurrently, average home prices have seen a substantial increase. In 2013, the average home price was $181,158, which rose to $296,163 by 2022, representing a 63.5% increase over nine years. This inverse relationship between homeownership rates and average home prices suggests that rising property values may be making homeownership less accessible for some residents.
Federal interest rates have played a significant role in shaping homeownership trends in Glassboro. From 2013 to 2020, interest rates remained relatively low, ranging from 0.09% to 2.16%. During this period, homeownership rates remained fairly stable, fluctuating between 67% and 70%. However, as interest rates began to rise more sharply in 2022 to 1.68%, the homeownership rate dropped to 64%, its lowest point in the dataset. This trend aligns with the general principle that lower interest rates tend to encourage homeownership by making mortgages more affordable.
The renter population in Glassboro has been steadily increasing, from 31% in 2013 to 36% in 2022. This growth in renters coincides with a rise in average rent prices. In 2013, the average rent was $1,513, which increased to $1,515 by 2022, a relatively modest 0.1% increase. However, it's worth noting that rent prices fluctuated during this period, reaching a low of $1,290 in 2014 before gradually climbing back up. The increase in the renter population, despite rising rent prices, may be attributed to the growing overall population, which rose from 20,243 in 2013 to 24,650 in 2022, a 21.8% increase.
As of 2024, the average home price in Glassboro has reached $340,854, continuing the upward trend observed in previous years. This represents a 14.9% increase from the 2022 average of $296,163. The current federal interest rate stands at 5.33%, significantly higher than the 1.68% rate in 2022. This combination of rising home prices and higher interest rates may continue to impact homeownership rates in the area.
Looking ahead, predictive models suggest that average home prices in Glassboro will continue to rise over the next five years, potentially reaching around $400,000 by 2029. Average rent prices are also expected to increase, albeit at a slower rate, potentially reaching approximately $1,700 per month by 2029. These projections are based on historical trends and current market conditions.
In summary, Glassboro has experienced a shift towards a higher proportion of renters, driven by rising home prices and, more recently, increasing interest rates. The substantial growth in average home values, coupled with a modest increase in rent prices, suggests a changing housing market that may present challenges for potential homebuyers but opportunities for property investors. As the population continues to grow, balancing housing affordability and availability will likely be a key focus for the community in the coming years.
