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Rising Home Values and Ownership Fluctuations in Pheasant Run, Bakersfield
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
Pheasant Run, a neighborhood in Bakersfield, California, has experienced significant fluctuations in homeownership rates and property values over the past decade. This suburban community has seen a shift in its residential landscape, with ownership percentages and housing prices demonstrating notable trends.
The homeownership rate in Pheasant Run showed a general upward trend from 2013 to 2019, increasing from 43% to 55%. This rise coincided with a steady increase in average home prices, which grew from $187,388 in 2013 to $260,778 in 2019, representing a 39% increase over six years. However, this trend reversed in recent years, with homeownership dropping to 46% by 2022, while average home prices continued to climb, reaching $379,857 in the same year.
The relationship between federal interest rates and homeownership rates in Pheasant Run follows a generally inverse pattern. As interest rates remained low from 2013 to 2016, hovering around 0.1% to 0.4%, homeownership rates increased from 43% to 52%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates started to decline, falling to 46% by 2022. This trend aligns with the general economic principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
Renter percentages in Pheasant Run have fluctuated inversely to homeownership rates, with a notable decrease from 57% in 2013 to 45% in 2019, followed by an increase to 54% by 2022. Average rent prices have shown a general upward trend, rising from $1,594 in 2013 to $1,922 in 2021, with some fluctuations in between. Interestingly, despite the increase in renter percentages in recent years, the average rent price decreased slightly to $1,647 in 2022. This could be attributed to various factors, including changes in housing supply or local economic conditions.
Looking at the most recent data, average home prices in Pheasant Run continued to rise in 2023, reaching $383,022, and further increased to $394,365 in 2024. This upward trend persists despite the significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership rates and could potentially slow down the rate of home price appreciation.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Pheasant Run will continue to increase, albeit at a potentially slower rate due to higher interest rates. By 2029, average home prices could reach approximately $450,000 to $500,000, assuming a moderate annual growth rate of 3-5%. Average rent prices are also expected to rise, potentially reaching $1,900 to $2,100 per month by 2029, reflecting a steady increase in line with historical trends and accounting for potential market adjustments.
In summary, Pheasant Run has demonstrated a dynamic housing market over the past decade, with notable shifts in homeownership rates and consistent growth in property values. The recent trend of decreasing homeownership despite rising home prices, coupled with increasing renter percentages and fluctuating rent prices, suggests a complex interplay of economic factors influencing the neighborhood's residential landscape. As interest rates remain high, it will be crucial to monitor how these trends evolve and impact the future of Pheasant Run's housing market.
