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Mount Sinai 11766: Rising Home Values and Strong Ownership in a Resilient Housing Market
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
Mount Sinai, located in zip code 11766 in New York, has experienced significant shifts in homeownership rates and housing prices over the past decade. This coastal community on Long Island's North Shore has seen a general trend of increasing homeownership, with average home prices rising steadily despite fluctuations in the rental market.
The ownership percentage in Mount Sinai has shown a consistent upward trend, increasing from 89% in 2016 to 95% in 2022. This rise in homeownership coincides with a substantial increase in average home prices, which grew from $454,928 in 2016 to $648,609 in 2022, representing a 42.6% increase over six years. This correlation suggests that as property values increased, more residents were motivated to invest in homeownership, possibly viewing it as a sound financial decision in a growing market.
Federal interest rates have played a significant role in shaping homeownership trends in Mount Sinai. The period from 2016 to 2021 saw historically low interest rates, ranging from 0.4% to 1.68%. These low rates likely contributed to the increase in homeownership, as they made mortgages more affordable and attractive to potential buyers. The sharp rise in homeownership from 92% in 2013 to 95% in 2022 aligns with this period of low interest rates, illustrating how favorable financing conditions can stimulate home buying activity.
Conversely, the percentage of renters in Mount Sinai has decreased over time, dropping from 10% in 2017 to 5% in 2022. Interestingly, this decline in the renter population has not consistently correlated with average rent prices. For instance, average rent peaked at $2,426 in 2016 when the renter percentage was 9%, then fluctuated significantly, dropping to $1,516 in 2019 before rising again to $1,564 in 2022. These variations in rent prices, coupled with the decreasing renter population, suggest that factors beyond just supply and demand, such as local economic conditions or changes in housing stock, may be influencing the rental market in this area.
Looking at more recent data, the average home price in Mount Sinai continued its upward trajectory, reaching $667,185 in 2023 and further increasing to $701,489 in 2024. This represents a 8.2% increase from 2022 to 2024, indicating a robust and growing housing market. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, which typically make borrowing more expensive, the continued rise in home prices suggests strong demand and confidence in the local real estate market.
Applying predictive models to forecast the next five years, we can anticipate that average home prices in Mount Sinai will likely continue their upward trend, potentially reaching around $850,000 by 2029 if current growth rates persist. Average rent prices may stabilize or see modest increases, potentially reaching $1,800 to $2,000 per month by 2029, assuming economic conditions remain favorable and the supply of rental properties aligns with demand.
In summary, Mount Sinai has experienced a significant shift towards homeownership, with a corresponding increase in average home prices. The influence of federal interest rates has been evident, with low rates contributing to increased homeownership during the 2016-2021 period. Despite recent interest rate hikes, the housing market remains strong, with prices continuing to rise. The rental market has shown more volatility, with decreasing renter percentages and fluctuating rent prices. These trends paint a picture of a dynamic real estate market in zip code 11766, characterized by growing homeownership and increasing property values.
