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Rising Home Values and Ownership Trends in Zip Code 28344: Falcon's Decade of Growth
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
Zip code 28344, located in Falcon, North Carolina, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area has seen a general trend of increasing homeownership and rising average home prices, with some fluctuations in the rental market.
The ownership percentage in zip code 28344 has shown a steady increase from 76% in 2013 to 83% in 2022. This upward trend in homeownership coincides with a significant rise in average home prices. In 2013, the average home price was $109,281, which has nearly doubled to $197,017 by 2022. This represents an impressive 80.3% increase over a nine-year period. The most substantial year-over-year increase occurred between 2020 and 2021, when average home prices jumped from $157,913 to $178,660, a 13.1% rise in a single year.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 28344. The period from 2013 to 2020 saw historically low interest rates, ranging from 0.09% to 2.16%. These low rates likely contributed to the steady increase in homeownership, as they made mortgage financing more affordable for potential buyers. The sharp drop in interest rates from 2.16% in 2019 to 0.38% in 2020 coincided with a significant jump in homeownership from 78% to 81%, illustrating the strong relationship between low interest rates and increased homeownership.
As homeownership rates increased, the percentage of renters in zip code 28344 naturally decreased from 24% in 2013 to 17% in 2022. Despite this decline in the renter population, average rent prices have shown an overall upward trend. In 2013, the average rent was $662, which increased to $740 by 2022, representing an 11.8% rise. However, this increase was not consistent year-over-year. For instance, there was a notable drop in average rent from $751 in 2018 to $730 in 2020, possibly influenced by the economic impacts of the global pandemic.
Looking at the most recent data, the average home price in zip code 28344 reached $213,596 in 2023 and further increased to $219,617 in 2024. This represents a 5.2% year-over-year increase from 2022 to 2023, followed by a more modest 2.8% increase from 2023 to 2024. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may potentially slow down the rapid home price appreciation seen in previous years.
Applying predictive models to forecast 5-year trends, we can expect the average home prices in zip code 28344 to continue rising, albeit at a potentially slower pace due to higher interest rates. Based on historical data and current trends, average home prices could reach approximately $250,000 to $270,000 by 2029. For rent prices, the forecast suggests a continued upward trend, potentially reaching an average of $800 to $850 per month by 2029, assuming steady economic growth and demand in the area.
In summary, zip code 28344 has demonstrated a clear trend of increasing homeownership and rising average home prices over the past decade. The area has benefited from historically low interest rates, which have supported the growth in homeownership. While the rental market has shrunk in terms of percentage, rent prices have generally increased. The recent rise in interest rates and the continued appreciation of home prices suggest a potentially more balanced market in the coming years, with slower but steady growth in both the homeownership and rental sectors.
