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Average Home Values and Ownership in Zip Code 92274: Salton City's Housing Evolution Near the Salton Sea
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 92274, located in Salton City, California, has experienced significant shifts in homeownership rates and housing prices over the past decade. This area, known for its proximity to the Salton Sea, has seen a remarkable increase in homeownership coupled with substantial growth in average home prices.
The ownership percentage in zip code 92274 has shown a strong upward trend, rising from 63% in 2014 to an impressive 85% in 2022. This substantial increase in homeownership coincides with a significant rise in average home prices. In 2014, the average home price was $87,805, which steadily climbed to $249,019 by 2022, representing a 183% increase over eight years. This correlation suggests that despite rising prices, more residents in the area have been able to purchase homes, possibly due to increased local economic opportunities or changing demographics.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 92274. The period from 2014 to 2020 saw relatively low interest rates, ranging from 0.09% to 2.16%, which likely contributed to the increase in homeownership from 63% to 83% during this time. The accessibility of affordable financing options typically encourages more people to buy homes, as seen in this zip code.
Conversely, the percentage of renters in zip code 92274 has decreased significantly, from 37% in 2014 to 15% in 2022. Despite this decline in the renter population, average rent prices have shown an upward trend. The average rent increased from $789 in 2014 to $820 in 2022, a modest 3.9% rise. This suggests that while fewer people are renting, those who do are paying slightly higher prices, possibly due to improved rental property quality or increased demand for the limited rental inventory.
In 2023 and 2024, the housing market in zip code 92274 continued its upward trajectory. The average home price reached $254,756 in 2023 and further increased to $268,620 in 2024, representing a 5.4% year-over-year growth. This occurred despite the Federal interest rates rising to 5.02% in 2023 and 5.33% in 2024, indicating a robust local housing market that has remained resilient in the face of higher borrowing costs.
Looking ahead, based on the historical trends and current market conditions, we can forecast continued growth in both home prices and rent prices over the next five years. Average home prices in zip code 92274 are projected to increase by approximately 25-30% by 2029, potentially reaching around $335,000 to $350,000. Average rent prices are expected to grow more moderately, with a projected increase of 10-15% over the same period, potentially reaching $900 to $950 per month.
In summary, zip code 92274 has demonstrated a strong trend towards homeownership, with a substantial increase in both the percentage of owner-occupied homes and average home prices. Despite rising interest rates, the housing market has shown resilience and continued growth. The rental market, while shrinking in terms of population, has maintained steady price growth. These trends point to a dynamic and evolving housing landscape in Salton City, with a clear preference for homeownership among residents.
