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Rising Home Values and Ownership Rates in Stonegate Crossing: A Decade of Change
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
Stonegate Crossing, a vibrant neighborhood in Chandler, Arizona, has experienced significant shifts in homeownership rates and property values over the past decade. This compact community, known for its high population density, has seen a notable increase in average home prices and rent, accompanied by fluctuations in the balance between owner-occupied and renter-occupied housing units.
The homeownership rate in Stonegate Crossing has shown a remarkable upward trend, particularly in recent years. In 2013, 74% of housing units were owner-occupied. This figure dipped to a low of 54% in 2016 and 2017 but has since rebounded strongly. By 2022, the homeownership rate had surged to 84%, indicating a significant shift towards property ownership in the neighborhood. This trend correlates with the substantial increase in average home prices. In 2013, the average home price was $153,152, which more than doubled to $445,219 by 2022. This dramatic rise in property values likely contributed to the increased attractiveness of homeownership as an investment.
Federal interest rates have played a crucial role in shaping homeownership trends in Stonegate Crossing. The period from 2013 to 2021 saw historically low interest rates, ranging from 0.08% to 0.4%. These low rates made mortgages more affordable, potentially contributing to the increase in homeownership. The sharp rise in interest rates to 1.68% in 2022 coincided with the peak in homeownership at 84%, suggesting that many residents may have rushed to purchase homes before rates increased further.
Rental trends in Stonegate Crossing have shown an inverse relationship to homeownership rates. The percentage of renter-occupied units peaked at 46% in 2016 and 2017, coinciding with the lowest homeownership rates. Since then, the rental market has contracted, with only 16% of units being renter-occupied in 2022. Despite this decrease in rental occupancy, average rent prices have consistently increased. In 2013, the average rent was $898, which rose to $1,422 by 2022, representing a 58% increase over nine years. This rise in rent prices, coupled with the growing appeal of homeownership, may have encouraged more residents to transition from renting to owning.
As of 2024, the average home price in Stonegate Crossing stands at $439,810, showing a slight decrease from the 2022 peak but still maintaining a high value. The federal interest rate has increased significantly to 5.33% in 2024, which could impact future homeownership trends and property values in the neighborhood.
Looking ahead, predictive models suggest that average home prices in Stonegate Crossing may continue to appreciate, albeit at a more moderate pace than seen in recent years. Over the next five years, average home prices could potentially reach the $500,000 mark, assuming continued economic stability and demand for housing in the area. Average rent prices are also expected to follow an upward trajectory, potentially surpassing $1,600 per month within the next five years, reflecting the overall trend of increasing housing costs in the region.
In summary, Stonegate Crossing has experienced a significant shift towards homeownership, with property values more than doubling over the past decade. The interplay between federal interest rates, rising home prices, and increasing rent costs has shaped the housing market dynamics in this neighborhood. As the community continues to evolve, it will be crucial to monitor these trends and their impact on the local real estate landscape.
