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Average Home Values and Ownership in Zip Code 13501: A Decade of Resilience in Utica's 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
Zip code 13501, located in Utica, New York, has experienced significant shifts in homeownership rates and housing market dynamics over the past decade. This area has seen notable changes in both average home prices and average rent prices, reflecting broader economic trends and local market conditions. The homeownership rate in zip code 13501 has shown an overall increasing trend from 2013 to 2022. In 2013, the percentage of owner-occupied homes was 46%, which increased to 50% by 2022. This upward trend coincided with a substantial rise in average home prices. In 2013, the average home price was $86,665, which steadily increased to $164,152 by 2022, representing an impressive 89.4% growth over this period. The most significant jump occurred between 2020 and 2021, with average home prices surging from $124,272 to $144,851, a 16.6% increase in just one year.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 13501. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.4%. During this time, homeownership rates remained relatively stable, hovering around 44-46%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), there was a slight increase in homeownership, reaching 47% in 2019. Interestingly, despite the drop in interest rates to 0.38% in 2020 and 0.08% in 2021, homeownership rates jumped significantly to 52% in both years, likely influenced by other factors such as the pandemic-driven desire for more space.
Renter percentages in zip code 13501 have generally shown an inverse relationship to homeownership rates. In 2013, 53% of housing units were renter-occupied, which increased to 55% in 2014 before gradually decreasing to 50% by 2022. Average rent prices have demonstrated an overall upward trend, rising from $687 in 2013 to $800 in 2022, a 16.4% increase. The most substantial year-over-year increase in average rent occurred between 2016 and 2017, jumping from $710 to $788, a 11% rise. It's worth noting that despite fluctuations in the renter population, average rent prices have generally continued to climb, suggesting a robust rental market in the area.
In 2023, the average home price in zip code 13501 reached $173,570, representing a 5.7% increase from 2022. This growth continued into 2024, with average home prices rising to $183,406, a further 5.7% increase. Notably, federal interest rates also saw significant increases during this period, reaching 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, which typically dampen home buying activity, the local housing market has continued to show strength in terms of price appreciation.
Looking ahead, predictive models suggest that average home prices in zip code 13501 are likely to continue their upward trajectory over the next five years, albeit potentially at a more moderate pace due to higher interest rates. Average rent prices are also expected to increase, driven by ongoing demand for rental properties and the overall appreciation of real estate in the area. However, the rate of increase may be tempered by the growing homeownership trend if it continues.
In summary, zip code 13501 has demonstrated a resilient and dynamic housing market over the past decade. The area has seen a significant increase in homeownership rates, substantial growth in average home prices, and steady rises in average rent prices. These trends, coupled with the interplay between federal interest rates and local market conditions, paint a picture of a robust real estate environment that has weathered various economic shifts. As the market continues to evolve, it will be crucial to monitor how these trends develop and impact both homeowners and renters in the Utica area.
