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Average Home Values and Ownership in Zip Code 13202: A Tale of Urban Rental Dominance
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
Zip code 13202, located in Syracuse, New York, presents an intriguing case study of urban housing dynamics. This densely populated area has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. The zip code has consistently maintained a high percentage of renters, with homeownership rates remaining below 10% throughout the observed period. Average home prices have shown a steady increase, particularly in recent years, while average rent prices have also risen, albeit at a more moderate pace.
The relationship between homeownership rates and average home prices in zip code 13202 reveals an interesting trend. Despite the substantial increase in average home prices from $127,421 in 2010 to $175,763 in 2022, homeownership rates have remained remarkably low. In fact, the percentage of owner-occupied homes decreased from 6% in 2013 to 4% in 2019, before slightly rebounding to 7% in 2022. This suggests that rising home prices have not significantly influenced homeownership rates in this area, possibly due to other factors such as the urban nature of the zip code or the predominance of rental properties.
Federal interest rates have historically played a role in homeownership trends, with lower rates generally encouraging home purchases. However, in zip code 13202, this relationship appears less pronounced. For instance, despite historically low interest rates between 2010 and 2016 (ranging from 0.1% to 0.4%), homeownership rates remained consistently low. Even as interest rates began to rise from 2017 to 2019 (1% to 2.16%), there was no significant change in homeownership patterns. This suggests that other local factors may have a stronger influence on homeownership in this particular zip code than national interest rate trends.
The renter percentage in zip code 13202 has remained exceptionally high, consistently above 90% throughout the observed period. This high proportion of renters correlates with a steady increase in average rent prices. From 2013 to 2022, the average rent price rose from $590 to $854, representing a 44.7% increase. This upward trend in rent prices occurred alongside a population increase from 5,663 in 2013 to 7,444 in 2022. The growing population and persistently high renter percentage suggest a strong demand for rental properties in this area, which likely contributed to the rise in average rent prices.
In 2023 and 2024, the housing market in zip code 13202 continued its upward trajectory. The average home price reached $188,844 in 2023 and further increased to $201,352 in 2024, representing a significant jump from previous years. Concurrently, federal interest rates rose to 5.02% in 2023 and 5.33% in 2024, marking a substantial increase from the near-zero rates of the early 2020s. These higher interest rates, combined with rising home prices, may further impact homeownership trends in the area.
Looking ahead, predictive models suggest that both average home prices and rent prices in zip code 13202 are likely to continue their upward trend over the next five years. Based on historical data and current trends, average home prices could potentially reach or exceed $230,000 by 2029. Average rent prices may similarly increase, potentially surpassing $950 per month within the same timeframe. However, these projections assume a continuation of current economic conditions and housing market trends.
In summary, zip code 13202 in Syracuse, New York, exhibits a unique housing market characterized by persistently low homeownership rates despite rising average home prices. The area maintains a strong rental market with consistently high renter percentages and steadily increasing average rent prices. The recent sharp increase in average home prices and federal interest rates in 2023 and 2024 may further shape the housing landscape in this zip code. As the population continues to grow, these trends are likely to persist, potentially leading to further increases in both home and rent prices in the coming years.
