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Rising Home Values and Ownership Trends in Zip Code 95464: Nice's 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
Zip code 95464, located in Nice, California, has experienced significant shifts in homeownership rates and housing prices over the past decade. This area, situated in Lake County, has seen a general trend of increasing homeownership and rising average home prices, with some fluctuations in recent years. The ownership percentage in zip code 95464 has shown a notable upward trend, coinciding with rising average home prices. In 2013, the homeownership rate was 42%, with an average home price of $108,274. By 2019, the ownership rate had climbed dramatically to 72%, while average home prices reached $208,155. This strong positive correlation suggests that as property values increased, more residents were motivated or able to purchase homes. However, there was a slight dip in ownership to 61% in 2022, with average home prices peaking at $274,873.
Federal interest rates have played a role in homeownership trends in the area. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.09% to 0.4%, which likely contributed to the significant increase in homeownership from 42% to 60% during this time. As interest rates began to rise more steadily from 2017 onwards, the growth in homeownership slowed, though it remained relatively high.
Renter percentages and average rent prices in zip code 95464 have shown an inverse relationship to homeownership trends. In 2013, 58% of residents were renters, with an average rent of $692. As homeownership increased, the percentage of renters decreased to 28% by 2019, while average rent rose to $1,096. This suggests that as more residents became homeowners, the rental market tightened, driving up prices. However, by 2022, the renter percentage increased slightly to 39%, with average rent reaching $1,239. The population fluctuations, from 2,377 in 2019 to 2,148 in 2022, may have influenced these rental market dynamics.
Looking at the most recent data, average home prices in zip code 95464 decreased from $274,873 in 2022 to $257,025 in 2023, and further to $246,353 in 2024. This downward trend coincides with a significant increase in federal interest rates, which rose from 1.68% in 2022 to 5.02% in 2023, and 5.33% in 2024. These higher interest rates likely contributed to the cooling of the housing market in the area.
Applying predictive models to forecast 5-year trends, we anticipate a potential stabilization or slight decrease in average home prices in zip code 95464, given the current higher interest rate environment. Average rent prices are expected to continue their upward trajectory, albeit at a more moderate pace, as the rental market adjusts to changes in homeownership rates and overall housing affordability.
In summary, zip code 95464 has experienced a significant increase in homeownership rates and average home prices over the past decade, with a peak in 2022. Recent data shows a cooling trend in the housing market, likely influenced by rising interest rates. The rental market has responded inversely to homeownership trends, with average rents increasing as the percentage of renters decreased. These dynamics highlight the interconnected nature of homeownership, rental markets, and broader economic factors in shaping the housing landscape of this California community.
