The rental market in Lake Cherokee has grown in response to declining homeownership. Renter percentages increased from 73% in 2013 to 81% in 2022. Average rent prices also rose during this period, from $856 to $1,028, a 20% increase. The neighborhood's population remained relatively stable, growing slightly from 1,217 in 2013 to 1,295 in 2022, indicating that the shift towards renting is likely due to changing housing preferences or affordability issues rather than significant demographic changes.

In recent years, the housing market in Lake Cherokee has continued its upward trend. The average home price reached $577,938 in 2023 and further increased to $600,414 in 2024, showing a 3.9% year-over-year growth. Federal interest rates also saw a significant rise, jumping from 5.02% in 2023 to 5.33% in 2024, potentially affecting housing affordability and market dynamics.

Based on observed trends, projections for Lake Cherokee's housing market over the next five years indicate continued growth. Average home prices are expected to increase by approximately 4-5% annually, potentially reaching around $730,000 by 2029. Similarly, average rent prices are anticipated to rise at a comparable rate, possibly reaching $1,250-$1,300 per month in the same timeframe.

In conclusion, Lake Cherokee has transformed into a predominantly renter-occupied market over the last decade, with homeownership rates declining as property values increased substantially. The interplay of rising home prices, increasing rents, and fluctuating interest rates has reshaped the neighborhood's housing landscape. As these trends persist, Lake Cherokee is poised to remain a dynamic and evolving residential area within Orlando.