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Home Values and Ownership in Zip Code 90066: A Decade of Change in Los Angeles' Westside
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 90066, located in Los Angeles, California, has experienced significant changes in its housing market over the past decade. This analysis explores the trends in homeownership rates, average home prices, and average rent prices in this urban community.
The homeownership rate in zip code 90066 has shown a gradual decline from 2013 to 2022. In 2013, 39% of residents owned their homes, but by 2022, this figure had decreased to 37%. Concurrently, average home prices in the area have seen a substantial increase. In 2013, the average home price was $748,148, and by 2022, it had risen dramatically to $1,752,322, representing a 134% increase over this period. This inverse relationship between homeownership rates and average home prices suggests that rising property values may be making homeownership less accessible for many residents in the area.
Federal interest rates have played a significant role in shaping homeownership trends in zip code 90066. From 2013 to 2016, interest rates remained historically low, hovering around 0.1% to 0.4%. During this period, homeownership rates remained relatively stable at 38%. However, as interest rates began to rise from 2017 (1%) to 2019 (2.16%), we observed a slight decline in homeownership rates to 37%. This trend aligns with the general principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
The renter population in zip code 90066 has increased correspondingly with the decline in homeownership. In 2013, 61% of residents were renters, and by 2022, this figure had grown to 63%. Average rent prices have also seen a significant upward trend during this period. In 2013, the average rent was $1,516, and by 2022, it had increased to $2,066, representing a 36% rise. The population of the zip code fluctuated during this period, peaking at 59,141 in 2017 before declining to 53,821 in 2022. Despite the population decrease, the persistent rise in rent prices suggests a strong demand for rental properties in the area.
Looking at more recent data, the average home price in zip code 90066 for 2023 was $1,712,848, showing a slight decrease from 2022. However, in 2024, the average home price has rebounded to $1,746,702. This recent trend coincides with higher interest rates, which stood at 5.02% in 2023 and increased further to 5.33% in 2024. These higher interest rates may continue to impact homeownership rates and market dynamics in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 90066 will continue to rise, albeit at a more moderate pace than observed in the past decade. We project that by 2029, average home prices could reach approximately $2,100,000 to $2,300,000. For average rent prices, the forecast suggests a continued upward trend, potentially reaching $2,400 to $2,600 per month by 2029.
In summary, zip code 90066 has experienced a notable shift towards a renter-majority population, with homeownership rates declining as average home prices have more than doubled since 2013. The rental market has seen steady growth in both occupancy and prices. Recent data shows a slight cooling in home prices, but the overall trend remains upward. These patterns, influenced by factors such as interest rates and local market dynamics, are likely to continue shaping the housing landscape of this Los Angeles neighborhood in the coming years.
