Federal interest rates have played a crucial role in shaping homeownership trends. During periods of low interest rates, such as from 2009 to 2015 when rates remained below 0.2%, homeownership in Waverly remained relatively stable. However, as interest rates began to rise from 2016 onwards, reaching 1.68% in 2022, we observed slight fluctuations in homeownership rates, suggesting that higher borrowing costs may have impacted some potential buyers' ability to enter the market.

The rental market in Waverly has seen significant changes over the years. The percentage of renters has remained consistently high, ranging from 85% to 92% between 2013 and 2022. Average rent prices have shown a dramatic increase, particularly in recent years. In 2013, the average rent was $631, which rose steadily to $882 by 2019, representing a 40% increase. However, the most substantial jump occurred between 2019 and 2020, with average rent skyrocketing to $2,792, a 217% increase in just one year. By 2022, the average rent had further increased to $3,226, indicating a highly competitive rental market.

Looking at the most recent data, the average home price in Waverly for 2023 was $531,754, with a slight decrease projected for 2024 to $515,767. This represents a 3% decrease in average home prices. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates could potentially impact homebuying activity in the neighborhood.

Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Waverly may experience moderate growth, potentially reaching around $600,000 by 2029. This projection is based on historical price trends and assumes a stable economic environment. For rent prices, the forecast suggests continued upward pressure, with average rents potentially exceeding $3,500 by 2029, driven by the neighborhood's high renter population and increasing demand for housing in the Oakland area.

In summary, Waverly has experienced significant changes in its housing market, characterized by rising home prices, dramatically increasing rent prices, and a persistently high proportion of renters. The neighborhood's desirability, coupled with broader economic factors such as interest rates, continues to shape its housing landscape. As Waverly evolves, it remains an attractive location for both renters and homeowners, with the potential for further growth and development in the coming years.