Loading Content...
Average Home Values and Ownership in Zip Code 32177: A Decade of Change in Palatka's St. Johns River Area
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 32177, located in Palatka, Florida, has experienced significant changes in its housing market over the past decade. This area, known for its rich history and proximity to the St. Johns River, has seen fluctuations in homeownership rates and housing prices that reflect broader economic trends.
The homeownership rate in zip code 32177 has shown a slight decline over the years, moving from 69% in 2013 to 64% in 2022. This trend coincides with a substantial increase in average home prices. In 2013, the average home price was $79,967, which has more than doubled to $194,692 by 2022. This inverse relationship suggests that rising home prices may have made homeownership less accessible for some residents.
Federal interest rates have played a significant role in shaping homeownership trends. The period from 2013 to 2016 saw historically low interest rates, hovering around 0.1% to 0.4%. During this time, homeownership rates remained relatively stable, ranging from 64% to 66%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, we observed a slight decrease in homeownership rates, settling at 64% in 2022.
Renter percentages have shown a corresponding increase, rising from 31% in 2013 to 36% in 2022. This shift towards renting coincides with an overall increase in average rent prices. In 2013, the average rent was $734, which increased to $783 by 2022, representing a 6.7% rise over the period. The population of zip code 32177 has remained relatively stable, with 26,058 residents in 2013 and 26,592 in 2022, suggesting that changes in renting trends are more likely due to economic factors than significant population shifts.
Looking at the most recent data, the average home price in zip code 32177 reached $195,596 in 2023 and further increased to $199,741 in 2024. This continued upward trend in home prices is occurring alongside a significant rise in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024. These higher interest rates may pose challenges for potential homebuyers in the coming years.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 32177 will continue to rise, potentially reaching around $230,000 by 2029. Average rent prices are also expected to increase, possibly surpassing $850 per month within the same timeframe. These projections assume a continuation of current economic conditions and housing market trends.
In summary, zip code 32177 has experienced a gradual shift from homeownership to renting, driven by rising home prices and fluctuating interest rates. The substantial increase in average home prices, more than doubling since 2013, has been a key factor in this transition. As the area moves forward, the interplay between rising home values, increasing rent prices, and higher interest rates will likely continue to shape the local housing market dynamics.
