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Zip Code 03256: Rising Home Values and High Ownership Rates in New Hampton, NH
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 03256, located in New Hampton, New Hampshire, has experienced notable shifts in its housing market over the past decade. This area has consistently maintained a high rate of homeownership, with a slight fluctuation in recent years. The average home prices and average rent prices have shown distinct trends, reflecting the changing dynamics of the local real estate market.
The homeownership rate in zip code 03256 has remained relatively stable, with minor fluctuations between 84% and 87% from 2013 to 2022. Interestingly, the average home prices have shown a significant upward trend during this period. In 2013, the average home price was $157,303, which steadily increased to $401,008 by 2022, representing a substantial 155% increase over nine years. This trend suggests that despite rising home prices, the community has maintained a strong preference for homeownership.
The relationship between federal interest rates and homeownership rates in this area appears to be somewhat nuanced. While lower interest rates typically encourage homeownership, the data for zip code 03256 shows a relatively stable homeownership rate even as interest rates fluctuated. For instance, when interest rates were at historic lows of 0.08% in 2021, the homeownership rate was 87%. However, it remained at 84% in 2022 when interest rates increased to 1.68%, indicating that other local factors may also influence homeownership decisions in this area.
Regarding rental trends, the percentage of renters in zip code 03256 has remained relatively low, fluctuating between 13% and 16% from 2013 to 2022. The average rent prices have shown some variability over this period. In 2013, the average rent was $1,012, which increased to $1,165 in 2021, representing a 15% increase. However, there was a slight decrease to $980 in 2022. The population has grown from 2,262 in 2013 to 2,586 in 2022, which may have contributed to the overall increase in rental demand and prices over this period.
Looking at the most recent data, the average home price in zip code 03256 continued its upward trajectory, reaching $428,424 in 2023 and further increasing to $432,501 in 2024. This represents a 7.8% increase from 2022 to 2024. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and housing affordability in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 03256 will continue to rise, albeit at a potentially slower rate due to higher interest rates. We project that by 2029, average home prices could reach approximately $500,000 to $550,000, assuming a moderate annual growth rate of 3-5%. For average rent prices, we expect a steady increase, potentially reaching $1,200 to $1,300 per month by 2029, based on historical trends and anticipated population growth.
In summary, zip code 03256 has demonstrated a robust housing market characterized by high homeownership rates and steadily increasing average home prices. Despite rising home values and fluctuating interest rates, the community has maintained a strong preference for homeownership. The rental market, while smaller, has shown resilience with moderate price increases. As the area continues to grow, it will be crucial to monitor how these trends evolve, particularly in light of recent interest rate hikes and their potential impact on housing affordability and market dynamics.
