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Home Values and Ownership Trends in Harrington, Oakland
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Harrington, a neighborhood in Oakland, California, has undergone significant changes in its housing market over the past decade. This analysis examines the fluctuations in homeownership rates, average home prices, and rent prices, revealing the area's dynamic real estate landscape. From 2013 to 2022, Harrington experienced a substantial increase in homeownership rates, rising from 24% to 40%. This upward trend coincided with a dramatic surge in average home prices, which grew from $217,780 in 2013 to $681,758 in 2022, representing a 213% increase. This correlation suggests a potential influx of affluent residents or growing prosperity within the neighborhood.
Federal interest rates played a crucial role in shaping Harrington's homeownership trends. Between 2013 and 2016, historically low interest rates of 0.1-0.4% contributed to a significant increase in homeownership, from 24% to 36%. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, the growth in homeownership slowed, stabilizing around 40-41% in recent years.
The rental market in Harrington has shown interesting trends. While the percentage of renters decreased from 76% in 2013 to 60% in 2022, average rent prices steadily increased. The average rent rose from $1,142 in 2013 to $1,471 in 2022, a 29% increase. This upward trend in rent prices, despite a decreasing renter population, may be attributed to factors such as improved housing quality, neighborhood gentrification, or a relative shortage of rental units.
Recent data reveals a cooling trend in Harrington's housing market. The average home price decreased to $630,124 in 2023 and further to $625,374 in 2024. This decline coincides with a significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates likely contributed to the cooling effect by making mortgages more expensive and potentially reducing demand.
Looking ahead, predictive models forecast moderate growth in Harrington's housing market over the next five years. Average home prices are expected to increase gradually, potentially reaching around $700,000 by 2029. This projection takes into account the current cooling trend and assumes a gradual stabilization of interest rates. For the rental market, a continued upward trajectory is anticipated, with average rent prices potentially reaching $1,700-$1,800 per month by 2029. This growth is likely to be driven by ongoing urban development and potential increases in housing demand.
In conclusion, Harrington has experienced a remarkable transformation in its housing market over the past decade. The neighborhood has seen a significant increase in homeownership rates, accompanied by substantial growth in average home prices. Despite a decreasing renter population, average rent prices have continued to rise. Recent data suggests a cooling in the housing market, likely influenced by rising interest rates. As Harrington moves forward, moderate growth in both home prices and rents is expected, reflecting the neighborhood's evolving dynamics and broader economic factors.
