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Average Home Values and Ownership in Zip Code 17404: A Decade of Resilience and Growth
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 17404 represents York, Pennsylvania, a historic urban area known for its rich industrial heritage. Over the past decade, this area has experienced notable shifts in homeownership rates and property values, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 17404 has shown resilience with minor fluctuations. In 2013, 73% of residents owned their homes. This figure slightly decreased to 69% by 2019 but rebounded to 71% in 2022. Concurrently, average home prices have demonstrated a significant upward trajectory. In 2013, the average home price was $128,456. By 2022, it had surged to $201,042, marking a substantial 56.5% increase over this period. This upward trend in home prices, despite minor fluctuations in homeownership rates, suggests a robust housing market in the area.
The relationship between federal interest rates and homeownership rates in zip code 17404 aligns with well-established economic principles. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable at around 71-73%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), there was a slight decline in homeownership to 69%. However, the sharp drop in interest rates in 2020 (0.38%) and 2021 (0.08%) coincided with a rebound in homeownership to 71%, illustrating how lower interest rates can stimulate home buying activity.
Renter percentages in zip code 17404 have shown a corresponding inverse relationship to homeownership rates. The proportion of renters increased from 27% in 2013 to 31% in 2019, before slightly decreasing to 29% in 2022. Average rent prices have generally trended upward during this period. In 2013, the average rent was $990, which increased to $1,104 by 2022, representing an 11.5% rise. This upward trend in rent prices, coupled with the area's growing population (from 33,913 in 2013 to 36,735 in 2022), suggests a steady demand for rental properties in the zip code.
Moving to the present, the average home price in zip code 17404 for 2023 was $216,287, and it further increased to $227,549 in 2024. This represents a significant 13.2% increase from 2022 to 2024, indicating a continued strong housing market despite higher interest rates (5.02% in 2023 and 5.33% in 2024). These figures suggest that local demand for housing remains robust, potentially driven by factors such as job growth or the area's desirability.
Looking ahead, predictive models suggest that the upward trend in both average home prices and rent prices is likely to continue over the next five years. Based on historical data and current market conditions, average home prices in zip code 17404 could potentially reach around $270,000 to $290,000 by 2029. Average rent prices might increase to approximately $1,250 to $1,350 per month in the same timeframe.
In summary, zip code 17404 has demonstrated a resilient housing market characterized by steadily increasing property values and relatively stable homeownership rates. The area has weathered fluctuations in interest rates and maintained a balance between owner-occupied and rental properties. The recent surge in home prices, even amid rising interest rates, indicates strong local demand and suggests that York remains an attractive location for both homeowners and investors.
