Loading Content...
Visalia's Housing Market: Resilient Growth Amid Economic Shifts
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Visalia, located in California's San Joaquin Valley, is a vibrant city known for its agricultural heritage and proximity to Sequoia National Park. As of 2022, Visalia had a population of 143,965 spread across 37.95 square miles. The city has experienced notable fluctuations in homeownership rates and housing prices over the past decade, reflecting broader economic trends and local market dynamics.
The homeownership rate in Visalia has shown considerable variability from 2013 to 2022. In 2013, 53% of residents owned their homes. This figure increased significantly to 62% in 2014, before settling at around 60% for several years. By 2022, the ownership rate stood at 61%. Concurrently, average home prices in Visalia have seen a substantial upward trend. In 2013, the average home price was $171,021. This figure rose steadily, reaching $260,114 in 2019, and then experienced a dramatic increase to $374,159 by 2022. This represents a 119% increase in average home prices over a nine-year period.
Federal interest rates have played a significant role in shaping homeownership trends in Visalia. From 2013 to 2016, interest rates remained extremely low, hovering around 0.1-0.4%. During this period, homeownership rates in Visalia were relatively stable at around 60%. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates showed resilience, maintaining at 61%. This suggests that other local factors, such as employment opportunities and housing supply, may have counterbalanced the impact of rising interest rates on homeownership.
Renter percentages in Visalia have fluctuated inversely to homeownership rates. In 2013, 47% of residents were renters. This dropped to 38% in 2014 but gradually increased to 44% by 2020. Average rent prices have shown a consistent upward trend. In 2013, the average rent was $917 per month. By 2019, it had increased to $1,147, and in 2022, it reached $1,483 – a 62% increase over nine years. This rise in rent prices, coupled with population growth from 127,758 in 2013 to 143,965 in 2022, suggests increasing demand for rental properties in Visalia.
In 2023, the average home price in Visalia slightly decreased to $373,785, while 2024 saw a modest increase to $381,336. Interestingly, federal interest rates rose significantly to 5.02% in 2023 and further to 5.33% in 2024. Despite these high interest rates, home prices have remained relatively stable, indicating strong underlying demand in the Visalia housing market.
Looking ahead, predictive models suggest that average home prices in Visalia may continue to rise moderately over the next five years, potentially reaching around $420,000 by 2029. Rent prices are also expected to increase, possibly surpassing $1,700 per month on average. These projections assume continued population growth and economic stability in the region.
In summary, Visalia's housing market has demonstrated remarkable resilience and growth over the past decade. Despite fluctuations in homeownership rates and significant increases in both home prices and rents, the market has remained robust. The city's ability to maintain relatively high homeownership rates even in the face of rising prices and interest rates suggests a strong local economy and desirable living conditions. As Visalia continues to grow, balancing affordable housing options with the rising demand will be crucial for sustaining its diverse community.
