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Zip Code 03574: Rising Home Values and Ownership Rates in Rural New Hampshire
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 03574, located in Bethlehem, New Hampshire, has shown interesting trends in homeownership rates and housing prices over the past decade. This area has experienced a notable increase in homeownership, rising from 60% in 2015 to 77% in 2022. Concurrently, average home prices have seen significant growth, while average rent prices have fluctuated.
The relationship between homeownership rates and average home prices in zip code 03574 reveals a positive correlation. As homeownership increased from 60% in 2015 to 77% in 2022, average home prices rose substantially from $136,851 to $292,984 during the same period. This trend suggests that rising home values may have incentivized more residents to invest in property ownership. The most dramatic increase occurred between 2020 and 2022, with homeownership jumping from 68% to 77% while average home prices surged from $190,250 to $292,984.
Federal interest rates have played a significant role in homeownership trends. The period from 2015 to 2020 saw relatively low interest rates, ranging from 0.13% to 2.16%. This low-interest environment likely contributed to the steady increase in homeownership during this time. However, the sharp rise in interest rates from 0.08% in 2021 to 5.02% in 2023 did not immediately impact the high homeownership rate, which remained at 77% in 2022.
Renter percentages in zip code 03574 have inversely mirrored the homeownership trend, decreasing from 40% in 2015 to 23% in 2022. Interestingly, average rent prices have not consistently followed this trend. Average rent peaked at $890 in 2015 when the renter percentage was highest at 40%. However, rent prices fluctuated thereafter, dropping to $725 in 2019 despite a renter percentage of 26%, then rising again to $877 in 2021 with a 27% renter occupancy. The population growth from 2,556 in 2015 to 2,526 in 2022 suggests that changes in housing supply and demand may have influenced these rent price fluctuations.
As of 2024, the average home price in zip code 03574 has reached $334,232, continuing the upward trend observed in previous years. The federal interest rate stands at 5.33% in 2024, slightly higher than the 5.02% rate in 2023. These figures indicate a sustained increase in property values despite higher borrowing costs, suggesting strong demand in the local housing market.
Looking ahead, predictive models suggest that average home prices in zip code 03574 will continue to rise over the next five years, potentially reaching around $400,000 by 2029. Average rent prices are expected to stabilize and gradually increase, possibly reaching $950-$1,000 per month in the same timeframe. These projections assume continued population growth and economic stability in the area.
In summary, zip code 03574 has experienced a significant shift towards homeownership, accompanied by substantial growth in average home prices. The area has demonstrated resilience in its housing market, with property values continuing to rise even in the face of increasing interest rates. The rental market has shown more volatility, with decreasing occupancy rates and fluctuating prices. As the community evolves, these trends suggest a strong preference for homeownership and sustained demand for residential properties in this New Hampshire locale.
