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Long Branch, NJ: Coastal City's Home Values Soar Amidst Stable Ownership Rates
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Long Branch, a vibrant coastal city in New Jersey, is known for its beautiful beaches and historic significance as a popular resort destination in the 19th century. Over the past decade, Long Branch has experienced fluctuations in homeownership rates, with a general trend towards increased owner-occupied housing. The city has also seen significant growth in average home prices, particularly in recent years, while average rent prices have shown more moderate increases.
The homeownership rate in Long Branch has shown an overall upward trend from 2013 to 2022, with some fluctuations. In 2013, the owner-occupied housing rate was 39%, which increased to 43% by 2022. This rise in homeownership coincided with a substantial increase in average home prices. In 2013, the average home price in Long Branch was $311,006, which rose dramatically to $646,110 by 2022, representing a 107.7% increase over nine years.
The relationship between federal interest rates and homeownership rates in Long Branch shows some interesting patterns. From 2013 to 2015, when interest rates were at historic lows (0.11% to 0.13%), homeownership rates increased from 39% to 40%. As interest rates began to rise more significantly from 2016 onwards, homeownership rates continued to climb, reaching 43% by 2018 when the federal interest rate was 1.83%. This suggests that while low interest rates may have initially encouraged homeownership, other factors such as local economic conditions and housing market dynamics also played a significant role in Long Branch's homeownership trends.
Renter percentages in Long Branch have generally decreased as homeownership rates increased. In 2013, 61% of housing units were renter-occupied, which declined to 57% by 2022. Despite this decrease in the proportion of renters, average rent prices have shown an upward trend. The average rent price in 2013 was $1,376, which increased to $1,389 by 2022, representing a modest 0.9% increase over nine years. This relatively stable rent price, compared to the significant increase in home prices, may have contributed to the shift towards homeownership for some residents.
In 2023, the average home price in Long Branch reached $680,267, with federal interest rates at 5.02%. Moving into 2024, the average home price further increased to $718,887, while interest rates rose slightly to 5.33%. These figures indicate a continuing upward trend in home prices despite higher interest rates, suggesting strong demand in the Long Branch housing market.
Looking ahead, predictive models forecast continued growth in both average home prices and rent prices over the next five years. Average home prices are projected to maintain their upward trajectory, potentially reaching around $850,000 by 2029. Average rent prices are expected to see more moderate increases, potentially rising to approximately $1,550 per month in the same period. These predictions are based on historical trends and current market conditions, but actual results may vary depending on economic factors and local market dynamics.
In summary, Long Branch has experienced a notable shift towards homeownership over the past decade, accompanied by substantial increases in average home prices. While renter percentages have decreased, average rent prices have shown more modest growth. The city's housing market has demonstrated resilience, with home prices continuing to rise even in the face of increasing interest rates. These trends suggest a strong demand for housing in Long Branch, likely driven by its attractive coastal location and ongoing development initiatives.
