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Rising Home Values and Declining Ownership: The Evolving Real Estate Landscape of Atlanta's Garden Hills
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
Garden Hills, a charming neighborhood in Atlanta, Georgia, has experienced significant changes in homeownership rates and property values over the past decade. From 2013 to 2022, the percentage of owner-occupied homes decreased from 61% to 52%, while average home prices rose from $428,115 to $706,073. Concurrently, average rent prices increased from $1,302 to $1,259 during the same period.
The relationship between homeownership rates and average home prices in Garden Hills shows an interesting trend. As average home prices steadily increased from $428,115 in 2013 to $706,073 in 2022, the percentage of owner-occupied homes generally declined. For instance, in 2013, when the average home price was $428,115, the homeownership rate was 61%. By 2022, with the average home price at $706,073, the homeownership rate had dropped to 52%. This inverse relationship suggests that rising home prices may have made homeownership less accessible for some residents.
Federal interest rates have played a role in homeownership trends in Garden Hills. During periods of lower interest rates, such as 2013-2016 when rates were below 0.5%, homeownership rates remained relatively stable, ranging from 55% to 61%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates showed a gradual decline, dropping from 59% in 2017 to 52% in 2022. This trend aligns with the general principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
The renter population in Garden Hills has shown an upward trend as homeownership rates declined. The percentage of renter-occupied homes increased from 39% in 2013 to 48% in 2022. Interestingly, average rent prices have fluctuated during this period. Starting at $1,302 in 2013, rents dipped to $1,187 in 2014 before rising again to $1,454 in 2021, and then decreasing slightly to $1,259 in 2022. These fluctuations in rent prices may be influenced by factors such as changes in housing supply, local economic conditions, and overall neighborhood desirability.
In 2023 and 2024, Garden Hills has continued to see growth in average home prices. The average home price reached $717,685 in 2023 and further increased to $745,715 in 2024. This represents a 5.6% increase from 2022 to 2024. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership trends in the neighborhood.
Looking ahead, based on historical trends and current market conditions, it's projected that average home prices in Garden Hills will continue to appreciate, potentially reaching around $800,000 by 2029. Average rent prices are also expected to increase, possibly surpassing $1,500 per month within the next five years. These projections assume continued economic growth and sustained demand for housing in the area.
In summary, Garden Hills has experienced a shift towards a higher percentage of renters over the past decade, coinciding with substantial increases in average home prices. The interplay between rising property values, fluctuating interest rates, and changing demographics has shaped the neighborhood's housing landscape. As the area continues to evolve, it will be crucial to monitor these trends and their impact on the local community.
