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Average Home Values and Ownership in Zip Code 27217: 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 27217, located in Burlington, North Carolina, has experienced notable fluctuations in homeownership rates and housing prices over the past decade. This area has seen a general trend of increasing average home prices, while homeownership rates have remained relatively stable with slight variations.
The homeownership rate in zip code 27217 has shown resilience, maintaining a range between 60% and 64% from 2013 to 2022. In 2013, the homeownership rate stood at 63%, and by 2022, it had slightly increased to 64%. During this period, average home prices in the area have seen significant growth. In 2013, the average home price was $81,703, and by 2022, it had more than doubled to $192,357, representing a 135% increase over nine years. This substantial rise in home prices did not seem to significantly impact homeownership rates, suggesting other factors may have supported continued homeownership in the area.
Federal interest rates have played a role in homeownership trends in zip code 27217. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), homeownership rates slightly decreased from 63% to 60%. However, as interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates stabilized and even increased slightly to 63% by 2019. This trend suggests that other local factors, such as job market strength or housing supply, may have had a more significant impact on homeownership than interest rates alone.
Renter percentages in zip code 27217 have fluctuated inversely to homeownership rates, ranging from 36% to 40% between 2013 and 2022. Interestingly, average rent prices have not shown a consistent upward trend during this period. In 2013, the average rent was $823, peaking at $828 in 2014 and 2015, before declining to $750 in 2019. By 2022, the average rent had slightly increased to $751. The population in the zip code grew from 34,103 in 2013 to 37,820 in 2022, a 10.9% increase, which may have contributed to maintaining demand for rental properties despite the fluctuations in rent prices.
In 2023 and 2024, average home prices in zip code 27217 continued their upward trajectory. The average home price reached $208,908 in 2023 and further increased to $219,135 in 2024, representing a 14% rise from 2022 to 2024. This growth occurred despite a significant increase in federal interest rates, which rose from 1.68% in 2022 to 5.02% in 2023 and 5.33% in 2024, potentially impacting mortgage affordability for some buyers.
Looking ahead, based on historical trends and current market conditions, we can predict that average home prices in zip code 27217 will continue to rise over the next five years, albeit potentially at a more moderate pace due to higher interest rates. Average home prices could potentially reach around $250,000 to $275,000 by 2029. Rent prices, which have been more volatile, may see modest increases, potentially reaching an average of $800 to $850 per month in the same timeframe.
In summary, zip code 27217 has demonstrated a robust housing market with steadily increasing home values and relatively stable homeownership rates. The area has shown resilience in maintaining homeownership levels despite significant home price appreciation and fluctuating interest rates. The rental market has been more volatile in terms of pricing but has maintained a consistent share of the housing market. These trends suggest a dynamic and adaptable housing market in Burlington, North Carolina, that has so far managed to balance growth with accessibility for both homeowners and renters.
