Rocky Hill, Zip Code 08553: Home Values and Ownership Trends Amid Rising Prices
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
DATA SOURCE
Rocky Hill, located in zip code 08553 in New Jersey, has experienced notable shifts in its housing market over the past decade. This small community has seen fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in Rocky Hill has remained relatively stable, with some minor fluctuations. In 2013, the homeownership rate was 84%, and by 2022, it remained at 84%. Despite this overall stability, there were some variations in between, with the rate dropping to 76% in 2015 before recovering. Average home prices in the area have shown a steady increase since 2018. The average home price in 2018 was $502,229, and by 2022, it had risen to $595,224, representing an 18.5% increase over four years.
Federal interest rates have played a role in shaping homeownership trends in Rocky Hill. From 2013 to 2020, interest rates remained relatively low, ranging from 0.09% to 2.16%. This period coincided with relatively stable homeownership rates in the zip code. However, as interest rates began to rise more sharply in 2022 (1.68%) and 2023 (5.02%), the homeownership rate remained steady at 84%, suggesting that other local factors may have counterbalanced the potential negative impact of rising interest rates on homeownership.
Renter percentages in Rocky Hill have shown some variability, inversely mirroring the homeownership trends. The renter-occupied percentage increased from 16% in 2013 to a peak of 24% in 2015, before settling back to 16% in 2022. Average rent prices have generally increased over time, albeit with some fluctuations. In 2013, the average rent was $1,207, rising to $1,702 in 2022, a 41% increase over nine years. This increase in rent prices occurred alongside population growth, from 593 residents in 2013 to 838 in 2022, potentially indicating increased demand for rental properties.
The housing market in Rocky Hill continued to evolve in 2023 and 2024. The average home price in 2023 reached $627,595, a 5.4% increase from 2022. In 2024, the average home price further increased to $676,584, representing a 7.8% year-over-year growth. These price increases occurred despite rising interest rates, with the federal interest rate reaching 5.02% in 2023 and 5.33% in 2024, suggesting strong local demand for housing in the area.
Looking ahead, based on the observed trends, we can project that average home prices in Rocky Hill may continue to rise over the next five years, potentially reaching around $800,000 by 2029 if the current growth rate persists. Average rent prices could also continue their upward trajectory, potentially surpassing $2,000 per month within the same timeframe. However, these projections are subject to various economic factors and local market conditions.
In summary, Rocky Hill (zip code 08553) has maintained a high and stable homeownership rate despite fluctuations in the housing market. The area has seen significant increases in both average home prices and rent prices over the past decade, with recent years showing particularly strong growth in home values. These trends, combined with population growth, suggest a robust and desirable housing market in this New Jersey community.
