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Rising Home Values and Declining Ownership in Anaheim's Zip Code 92801: Disneyland's Neighborhood Housing Trends
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
Zip code 92801, located in Anaheim, California, has experienced significant changes in its housing market over the past decade. This area, known for its proximity to popular attractions like Disneyland, has seen fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market dynamics.
The relationship between homeownership rates and average home prices in zip code 92801 reveals an interesting trend. In 2013, the homeownership rate was 41%, with an average home price of $349,378. As average home prices steadily increased, reaching $554,424 by 2019, the homeownership rate declined to 37%. This inverse relationship suggests that rising home prices may have made homeownership less attainable for some residents. The trend continued into 2020, with average home prices climbing to $587,851, while homeownership rates showed a slight increase to 39%.
Federal interest rates have played a role in shaping homeownership trends in the area. For instance, when interest rates were historically low at 0.08% in 2021, the homeownership rate in zip code 92801 rose to 41%, matching the 2013 level. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. However, as interest rates began to rise in 2022 to 1.68%, the homeownership rate slightly decreased to 40%.
Renter percentages and average rent prices in zip code 92801 have shown a corresponding trend. In 2013, the renter-occupied percentage was 57%, with an average rent of $1,510. As the renter percentage increased to 63% by 2017, average rent also rose to $1,615. This trend suggests that as more residents turned to renting, demand for rental properties increased, driving up average rent prices. The population growth from 60,384 in 2013 to 64,389 in 2017 likely contributed to this increased demand for rental properties.
Looking at more recent data, the average home price in zip code 92801 reached $773,897 in 2023, with a further increase to $829,179 in 2024. This significant rise in home prices occurred despite the sharp increase in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024. These high interest rates, combined with elevated home prices, may present challenges for potential homebuyers in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 92801 will continue to rise, albeit at a potentially slower rate due to high interest rates. Average rent prices are also expected to increase, driven by ongoing demand for rental properties. However, if interest rates begin to decrease, we may see a shift towards higher homeownership rates as financing becomes more affordable.
In summary, zip code 92801 has experienced a notable increase in average home and rent prices over the past decade, with corresponding fluctuations in homeownership and renter percentages. The area has shown resilience in its housing market, with prices continuing to rise even in the face of higher interest rates. As the market evolves, the interplay between home prices, rent costs, and interest rates will likely continue to shape the housing landscape in this Anaheim neighborhood.
