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Mission San Jose: Rising Home Values Reshape Historic San Antonio Neighborhood
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Mission San Jose, a historic neighborhood in San Antonio, Texas, has experienced significant changes in homeownership and property values over the past decade. This area, known for its UNESCO World Heritage site, reflects broader economic trends and local development patterns.
The homeownership rate in Mission San Jose declined from 58% in 2013 to 53% in 2022. During this period, average home prices more than doubled from $71,239 to $181,478. This inverse relationship suggests that rising property values may have made homeownership less attainable for some residents.
Federal interest rates have significantly influenced homeownership trends in Mission San Jose. From 2013 to 2020, interest rates remained low, around 0.1% to 0.4%, coinciding with fluctuations in homeownership rates, peaking at 62% in 2014 and 2016. As interest rates rose to 1.68% in 2022, the homeownership rate dropped to 53%, aligning with the understanding that higher interest rates tend to discourage homeownership due to less affordable financing options.
The rental market in Mission San Jose has shown interesting dynamics. The percentage of renters increased from 42% in 2013 to 47% in 2022. Average rent prices rose from $481 in 2013 to $1,031 in 2022, with some volatility in between. This overall upward trend in rent prices, coupled with the increasing renter population, suggests growing demand for rental properties in the area.
In 2023 and 2024, a reversal in the long-term trend of rising home prices occurred. The average home price in Mission San Jose decreased from $181,478 in 2022 to $161,065 in 2024. This decline coincides with a sharp increase in federal interest rates, which rose to 5.33% in 2024. These higher interest rates likely contributed to cooling the housing market and reducing home prices.
Looking ahead, based on recent trends and current economic conditions, average home prices in Mission San Jose may continue to decrease moderately over the next five years, potentially stabilizing around $150,000 by 2029. Average rent prices, however, are likely to continue their upward trajectory, possibly reaching around $1,200 per month by 2029, driven by increased demand for rental properties as homeownership becomes less accessible due to higher interest rates.
In summary, Mission San Jose has experienced a shift towards a more rental-oriented market over the past decade, with declining homeownership rates and rising property values. The recent cooling of the housing market, influenced by higher interest rates, marks a significant turning point that could reshape the neighborhood's real estate landscape in the coming years.
