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Warren, Michigan Zip Code 48093: Average Home Values Surge to $219,287 Amid Steady Homeownership
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 48093, located in Warren, Michigan, has shown interesting dynamics in homeownership and housing prices over the past decade. This area has maintained a relatively high rate of owner-occupied homes, with a slight increase in recent years, while experiencing significant growth in average home prices.
The ownership percentage in zip code 48093 has remained relatively stable, with a slight upward trend. In 2013, the homeownership rate was 76%, and by 2022, it had increased to 78%. During this same period, average home prices experienced substantial growth. In 2013, the average home price was $83,474, and by 2022, it had risen to $206,299, representing a remarkable 147% increase over nine years. This trend suggests that despite rising home prices, residents in this area have continued to prioritize homeownership.
Federal interest rates have played a role in homeownership trends in zip code 48093. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), the homeownership rate remained steady at 76%. As interest rates began to rise from 2017 (1.00%) to 2019 (2.16%), there was a slight increase in homeownership to 77%. Interestingly, the homeownership rate reached its peak of 78% in 2021 and 2022, despite fluctuations in interest rates during this period. This suggests that other factors, such as local economic conditions or housing market dynamics, may have also influenced homeownership decisions in this area.
Renter percentages in zip code 48093 have shown a slight downward trend, decreasing from 24% in 2013 to 22% in 2022. Despite this decrease, average rent prices have generally increased over the same period. In 2013, the average rent was $1,033, and by 2022, it had risen to $1,051, representing a modest 1.7% increase. However, it's worth noting that rent prices fluctuated during this period, reaching a peak of $1,126 in 2021 before declining slightly in 2022. The population in this zip code has also grown from 23,722 in 2013 to 25,218 in 2022, which may have contributed to the overall demand for rental properties despite the slight decrease in renter percentage.
In 2023 and 2024, the housing market in zip code 48093 continued to show growth. The average home price in 2023 was $210,770, and in 2024 it increased to $219,287, representing a 4% year-over-year increase. This growth occurred despite a significant rise in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024. These higher interest rates typically make mortgages more expensive, yet the housing market in this area has continued to appreciate, suggesting strong underlying demand or other favorable local economic factors.
Looking ahead, based on the historical data and current trends, we can forecast the following 5-year trends for average home and rent prices in zip code 48093: 1. Average home prices are projected to continue their upward trajectory, potentially reaching around $250,000 to $270,000 by 2029, assuming a moderate annual growth rate of 3-4%. 2. Average rent prices may see more modest growth, potentially reaching $1,150 to $1,200 by 2029, based on the historical trend of slow but steady increases.
In summary, zip code 48093 has demonstrated resilience in its housing market, with increasing homeownership rates despite rising home prices. The area has seen significant appreciation in home values, particularly from 2013 to 2022, while maintaining a stable ownership-to-renter ratio. The continued growth in home prices, even in the face of rising interest rates, suggests a robust local housing market. However, the more modest increases in rent prices indicate a potentially more balanced rental market. These trends point to a housing market in zip code 48093 that favors long-term homeownership while still providing rental options for its growing population.
