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Wildwood, Florida: Rising Home Values and Changing Ownership Trends in a Fast-Growing Retirement Hub
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
Wildwood, Florida, a rapidly growing city in Sumter County, has experienced significant changes in homeownership rates and property values over the past decade. Known for its proximity to The Villages, one of the largest retirement communities in the United States, Wildwood has seen its population more than double from 22,276 in 2013 to 45,576 in 2022. This population surge has had a substantial impact on the local housing market.
Homeownership rates in Wildwood have gradually declined since 2013. In 2013, the homeownership rate was 89%, but by 2022, it had decreased to 82%. This trend coincides with a substantial increase in average home prices. The average home price in Wildwood rose from $131,167 in 2013 to $298,349 in 2022, representing a 127% increase over nine years. This significant rise in home prices may have contributed to the decline in homeownership rates, as higher prices can make homeownership less attainable for some residents.
The relationship between federal interest rates and homeownership rates in Wildwood shows some correlation. From 2013 to 2015, when interest rates were at historic lows (0.11% to 0.13%), homeownership rates remained stable at 88-89%. However, as interest rates began to rise from 2016 onwards, reaching 1.68% in 2022, homeownership rates started to decline, dropping to 82% by 2022. This trend aligns with the general principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
The renter population in Wildwood has increased from 11% in 2013 to 18% in 2022. This rise in renters corresponds with an initial increase and subsequent decrease in average rent prices. In 2013, the average rent was $1,183, which peaked at $1,366 in 2019 before declining to $1,042 in 2022. The increase in the renter population, despite the fluctuations in rent prices, may be attributed to the city's rapid population growth, creating a higher demand for rental properties.
In 2023 and 2024, Wildwood's average home prices continued to rise, reaching $307,518 in 2023 and $314,019 in 2024. This represents a 3.1% increase from 2022 to 2023 and a further 2.1% increase from 2023 to 2024. Concurrently, federal interest rates increased significantly to 5.02% in 2023 and 5.33% in 2024, potentially impacting homebuying decisions.
Looking ahead, based on the historical data and current trends, we can forecast the following 5-year trends for Wildwood: Average home prices are likely to continue rising, albeit at a slower pace. We project an average annual increase of 2-3%, potentially reaching around $355,000 by 2029. Average rent prices may stabilize and gradually increase, possibly reaching $1,200-$1,300 per month by 2029, assuming economic conditions remain stable and population growth continues.
In summary, Wildwood has experienced a significant increase in average home prices over the past decade, coinciding with a gradual decline in homeownership rates. The city's rapid population growth has likely contributed to an increase in the renter population. Despite recent fluctuations, both home prices and rent prices are expected to continue rising moderately in the coming years, reflecting the city's ongoing development and appeal to new residents.
