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Average Home Values and Ownership in Zip Code 34759: Resilient Housing Market Amid Population 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 34759, located in Poinciana, Florida, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area has seen a notable population growth, increasing from 26,845 in 2010 to 37,383 in 2022, which has influenced the local housing market dynamics.
The homeownership rate in this zip code has fluctuated over the years, showing a general downward trend from 2013 to 2017, before stabilizing in recent years. In 2013, the homeownership rate was 77%, which decreased to 71% by 2017. However, it has since rebounded, reaching 76% in 2022. Concurrently, average home prices have shown a consistent upward trend. In 2010, the average home price was $85,663, which more than tripled to $300,578 by 2022. This substantial increase in home prices may have contributed to the initial decline in homeownership rates, as affordability became a challenge for some residents.
Federal interest rates have played a role in shaping homeownership trends in zip code 34759. From 2010 to 2015, interest rates remained historically low, hovering around 0.1% to 0.18%. During this period, homeownership rates remained relatively stable. As interest rates began to rise from 2016 onwards, reaching 1.68% in 2022, we observed some fluctuations in homeownership rates. The lower interest rates in the early 2010s likely supported homeownership by making mortgages more affordable, while the gradual increase in rates may have contributed to the slight decline in ownership percentages observed in some years.
Renter percentages in zip code 34759 have shown an inverse relationship to homeownership rates, naturally increasing as ownership rates decreased. The renter percentage rose from 21% in 2013 to 27% in 2017, before settling at 24% in 2022. Average rent prices have also seen an upward trend, albeit less dramatic than home prices. In 2013, the average rent was $1,287, which increased to $1,324 by 2022, representing a 2.9% increase over this period. The population growth in the area likely contributed to the increased demand for rental properties, supporting the rise in both renter percentages and average rent prices.
Looking at the most recent data, the average home price in zip code 34759 reached $306,015 in 2023, showing a continued upward trend. However, in 2024, there was a slight decrease to $304,534, indicating a potential stabilization in the market. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership rates and housing affordability in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 34759 will continue to rise, albeit at a more moderate pace. Based on historical data and current market conditions, we project average home prices could reach approximately $350,000 to $375,000 by 2029. Average rent prices are also expected to increase, potentially reaching $1,450 to $1,500 per month in the same timeframe. These projections assume continued population growth and economic stability in the area.
In summary, zip code 34759 has experienced significant changes in its housing market over the past decade. The area has seen substantial growth in average home prices, moderate increases in average rent prices, and fluctuations in homeownership rates. The interplay between federal interest rates, population growth, and housing affordability has shaped these trends. Moving forward, while both home prices and rent prices are expected to continue rising, the rate of increase may moderate, influenced by factors such as interest rates and local economic conditions.
