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Average Home Values and Ownership in Zip Code 14047: Trends in Highland-on-the-Lake's Lakeside Community
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
Highland-on-the-Lake, located in zip code 14047 in New York, presents an interesting case study in homeownership and housing market trends. This community has experienced significant shifts in its housing landscape over the past decade, with notable changes in homeownership rates, average home prices, and average rent prices. The homeownership rate in Highland-on-the-Lake has shown a slight decline over the years, moving from 86% in 2015 to 81% in 2022. This trend coincides with a substantial increase in average home prices, which rose from $118,320 in 2015 to $206,875 in 2022, representing a 75% increase over seven years. The inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less attainable for some residents.
Federal interest rates have played a significant role in shaping homeownership trends in Highland-on-the-Lake. The period from 2015 to 2020 saw historically low interest rates, ranging from 0.13% to 0.38%. This low-interest environment likely contributed to the relatively high homeownership rates observed during this time, as it made mortgage financing more affordable. However, the sharp increase in interest rates to 1.68% in 2022 coincided with a decrease in homeownership to 81%, illustrating how rising borrowing costs can impact housing market dynamics.
The renter population in Highland-on-the-Lake has shown a corresponding increase, rising from 14% in 2015 to 19% in 2022. Interestingly, average rent prices have fluctuated during this period, peaking at $815 in 2015 and dropping to $703 in 2022. This decline in average rent prices, despite an increase in the renter population, could be attributed to various factors such as changes in housing supply or local economic conditions. The population decrease from 6,436 in 2015 to 6,030 in 2022 may have also influenced the rental market dynamics.
Looking at more recent data, the average home prices in Highland-on-the-Lake continued to rise, reaching $219,301 in 2023 and $227,763 in 2024. This represents a further 10% increase from 2022 to 2024. Concurrently, federal interest rates have climbed significantly, hitting 5.02% in 2023 and 5.33% in 2024. These high interest rates, combined with rising home prices, may put additional pressure on homeownership rates in the coming years.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Highland-on-the-Lake will continue to rise, albeit at a potentially slower rate due to the high interest rate environment. By 2029, average home prices could reach approximately $260,000 to $280,000. Average rent prices, which have shown volatility, are projected to stabilize and potentially increase moderately, possibly reaching $750 to $800 per month by 2029.
In summary, Highland-on-the-Lake has experienced a gradual shift towards a higher proportion of renters, driven by rising home prices and fluctuating interest rates. The significant increase in average home prices, coupled with recent spikes in interest rates, suggests a challenging environment for potential homebuyers. However, the relatively stable rent prices may provide some relief for the growing renter population. As the community continues to evolve, these housing market dynamics will play a crucial role in shaping its demographic and economic landscape.
