As homeownership increased, the percentage of renters in zip code 93614 decreased from 21% in 2013 to 12% in 2022. Despite this decline, average rent prices showed volatility. The average rent rose from $1,334 in 2013 to a peak of $1,517 in 2021, before dropping to $1,218 in 2022. This fluctuation may be attributed to changes in the local economy and housing market dynamics, including the decreasing supply of rental properties as more homes became owner-occupied.

In 2023 and 2024, the housing market in zip code 93614 showed signs of stabilization. The average home price slightly decreased to $411,479 in 2023 before rising to $418,233 in 2024. This modest growth suggests a cooling of the rapid price increases seen in previous years. Notably, federal interest rates increased significantly to 5.02% in 2023 and 5.33% in 2024, which may have contributed to the slower growth in home prices.

Looking ahead, predictive models suggest that average home prices in zip code 93614 may continue to rise, but at a more moderate pace. Over the next five years, we can expect average home prices to potentially reach around $450,000 to $475,000, assuming stable economic conditions. Average rent prices are projected to stabilize and potentially increase slightly, possibly reaching $1,300 to $1,400 per month within the next five years.

In summary, zip code 93614 has experienced a significant shift towards homeownership, with a corresponding increase in average home prices. The area has seen a steady decrease in the renter population, while average rent prices have fluctuated. Recent data indicates a potential stabilization in the housing market, with more moderate growth expected in the coming years. The interplay between federal interest rates, homeownership rates, and property values continues to shape the real estate landscape in this California community.