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Plymouth - Exchange: Rising Home Values and Declining Ownership in Rochester's Rental-Dominated Neighborhood
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
Plymouth - Exchange, a neighborhood in Rochester, New York, has experienced significant changes in its real estate market over the past decade. This area has seen a notable shift in homeownership rates and a substantial increase in average home prices, reflecting broader economic trends and local market conditions. The homeownership rate in Plymouth - Exchange has declined considerably from 23% in 2013 to 13% in 2022. Simultaneously, the average home price has increased dramatically from $33,724 in 2013 to $91,236 in 2022, representing a 170% increase over nine years. This inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less accessible for many residents, leading to a more rental-dominated market. Federal interest rate trends appear to have influenced homeownership rates in Plymouth - Exchange. When interest rates were at historic lows between 2013 and 2016 (ranging from 0.11% to 0.4%), the homeownership rate remained relatively stable at around 21-23%. However, as interest rates began to rise more sharply from 2017 onwards, reaching 1.68% by 2022, the homeownership rate declined significantly to 13%. This pattern aligns with the economic principle that higher interest rates can make mortgages less affordable, potentially discouraging homeownership.
The renter percentage in Plymouth - Exchange has increased from 77% in 2013 to 87% in 2022. This rise in renters has been accompanied by fluctuations in average rent prices. In 2013, the average rent was $791, which decreased to $750 in 2017 before rising again to $780 in 2022. The neighborhood's population has varied from 3,607 in 2013 to 3,746 in 2022, potentially influencing rental demand and prices. The overall trend shows a growing preference or necessity for renting in this neighborhood, despite relatively modest changes in average rent prices compared to the dramatic increases in home values.
Recent data shows that the average home price in Plymouth - Exchange was $89,045 in 2023 and increased to $91,899 in 2024, representing a 3.2% increase in just one year. Federal interest rates have also risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and housing affordability in the neighborhood.
Predictive models forecast that average home prices in Plymouth - Exchange will continue to rise, potentially reaching around $110,000 by 2029. This projection is based on the consistent upward trend observed over the past decade. For average rent prices, a more moderate increase is expected, potentially reaching approximately $850 per month by 2029, assuming the trend of gradual rent increases continues.
In conclusion, Plymouth - Exchange has transformed into a rental-dominated market, with declining homeownership rates and surging average home prices. The inverse relationship between these factors, along with fluctuating interest rates, has reshaped the neighborhood's housing landscape. As the area continues to evolve, monitoring these trends will be crucial to understand their impact on the community's demographic composition and overall affordability.
