Loading Content...
Rising Home Values and Ownership in Long Beach's 11561 Zip Code: A Decade of Coastal Real Estate Trends
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 11561, located in Long Beach, New York, is a coastal community known for its beautiful beaches and vibrant boardwalk. This area has experienced notable shifts in homeownership rates and housing costs over the past decade. From 2013 to 2022, the percentage of owner-occupied homes increased from 59% to 64%, while average home prices rose from $491,950 to $752,113. Concurrently, average rent prices climbed from $1,789 to $2,176 per month.
The trend between homeownership percentage and average home prices in zip code 11561 shows a positive correlation. As average home prices increased by 52.9% from 2013 to 2022, the homeownership rate rose by 5 percentage points. This relationship was particularly evident from 2020 to 2022, when average home prices surged from $627,922 to $752,113, coinciding with a 2 percentage point increase in homeownership from 62% to 64%.
Federal interest rates appear to have influenced homeownership rates in this area. The period from 2013 to 2016 saw relatively stable homeownership rates around 58-59% when interest rates were consistently low, ranging from 0.09% to 0.4%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), homeownership rates remained steady. However, the sharp drop in interest rates in 2020 (0.38%) and 2021 (0.08%) coincided with an increase in homeownership from 59% in 2019 to 63% in 2021, suggesting that lower interest rates may have encouraged more people to buy homes.
The renter population in zip code 11561 has seen a gradual decline, dropping from 41% in 2013 to 36% in 2022. Despite this decrease, average rent prices have consistently risen, increasing by 21.6% from $1,789 in 2013 to $2,176 in 2022. This trend suggests that while fewer people are renting, those who do are paying higher prices. The population growth from 36,992 in 2013 to 37,801 in 2022 may have contributed to the upward pressure on rent prices, even as the proportion of renters decreased.
In 2023 and 2024, the housing market in zip code 11561 continued to evolve. The average home price in 2023 was $752,972, showing a slight increase from 2022. In 2024, the average home price further rose to $777,130, indicating a continuing upward trend in property values. Concurrently, federal interest rates increased significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homebuying trends in the area.
Looking ahead, predictive models suggest that average home prices in zip code 11561 could continue to rise over the next five years, potentially reaching around $850,000 by 2029. This projection is based on the consistent upward trend observed from 2013 to 2024. Average rent prices are also expected to increase, potentially surpassing $2,400 per month by 2029, following the steady growth pattern seen in recent years.
In summary, zip code 11561 has experienced a significant shift towards homeownership, with a 5 percentage point increase from 2013 to 2022, despite rising home prices. The inverse relationship between falling interest rates and increasing homeownership rates was particularly notable from 2019 to 2021. While the renter population has decreased, average rent prices have continued to climb, suggesting a competitive rental market. The area's housing market appears robust, with both home prices and rent showing consistent growth, a trend that is predicted to continue in the coming years.
