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Rising Home Values and Stable Ownership in Coconino Estates, Flagstaff
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Coconino Estates: A Study in Home Value Appreciation and Ownership Stability Coconino Estates, a small neighborhood in Flagstaff, Arizona, presents an intriguing case study in real estate trends. With a population of 424 residents in 2022, this community has demonstrated remarkable stability in homeownership rates despite significant increases in property values. The area has consistently maintained a high rate of owner-occupied housing, with approximately 75% of units being owned rather than rented. This trend has persisted even as average home prices have shown substantial growth over the years.
An examination of the relationship between homeownership rates and average home prices in Coconino Estates reveals a noteworthy pattern. Despite the considerable increase in average home prices from $295,645 in 2010 to $685,825 in 2022, the percentage of owner-occupied homes remained remarkably consistent at around 75%. This stability suggests a strong preference for homeownership within the neighborhood, even in the face of rising prices. For example, in 2013, when the average home price was $286,890, the homeownership rate stood at 75%. By 2019, as the average home price rose to $443,140, the homeownership rate held steady at 75%.
Federal interest rates have played a role in shaping homeownership trends in Coconino Estates. During periods of lower interest rates, such as from 2010 to 2016 when rates were below 0.5%, the neighborhood maintained its high homeownership rate of approximately 75%. This consistency in homeownership, despite fluctuating interest rates, indicates that other factors, such as the desirability of the neighborhood, may exert a strong influence on residents' decisions to own homes.
The trends in renter percentages and average rent prices in Coconino Estates show some correlation. In 2013, when the average rent was $1,960, renters comprised 25% of the population. As average rent prices fluctuated over the years, the percentage of renters remained relatively stable, ranging between 21% and 26%. Interestingly, in 2020, when the average rent decreased to $1,317, the renter percentage slightly declined to 24%, potentially indicating that some renters capitalized on lower prices to transition to homeownership.
Recent data indicates that the average home price in Coconino Estates was $680,665 in 2023 and increased to $708,205 in 2024. This represents a 4% increase in just one year, signifying a continued robust housing market in the neighborhood. Concurrently, federal interest rates rose from 5.02% in 2023 to 5.33% in 2024, which could potentially impact future homebuying decisions.
Applying predictive models to forecast 5-year trends, it is anticipated that average home prices in Coconino Estates will continue to rise, albeit at a more moderate pace. Based on historical data and current market conditions, projections suggest that average home prices could reach approximately $850,000 by 2029. For average rent prices, a gradual increase is expected, potentially reaching around $2,500 per month in the same timeframe.
In conclusion, Coconino Estates has exhibited remarkable stability in its homeownership rates despite significant increases in average home prices. The neighborhood's ability to maintain a high proportion of owner-occupied homes, even as prices rose and interest rates fluctuated, suggests a strong community appeal and a persistent desire for homeownership among residents. The rental market has shown more variability in pricing, but with a consistently smaller share of the housing market. Looking ahead, the neighborhood is likely to continue seeing appreciation in both home values and rental prices, maintaining its attractiveness for both owners and renters alike.
