Loading Content...
Zip Code 03885: Rising Home Values and Strong Ownership in Newfields, New Hampshire
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 03885, located in Newfields, New Hampshire, presents an interesting case study in homeownership and housing market trends. This area has maintained a consistently high rate of owner-occupied housing units, with a slight fluctuation over the years. The average home prices have shown a significant upward trajectory, while average rent prices have experienced more moderate increases.
The homeownership rate in zip code 03885 has remained relatively stable, with minor fluctuations between 2013 and 2022. In 2013, the area had a 92% homeownership rate, which dipped slightly to 87% in 2018 before recovering to 91% in 2022. During this same period, average home prices experienced substantial growth. In 2013, the average home price was $322,195, which steadily increased to $612,124 by 2022, representing a remarkable 90% increase over nine years. This trend suggests that despite rising home prices, the area has maintained its appeal to homeowners, possibly due to its desirable location or local economic factors.
Federal interest rates have played a role in shaping homeownership trends in zip code 03885. From 2013 to 2016, when interest rates were at historic lows (ranging from 0.11% to 0.40%), the homeownership rate remained high, hovering around 90%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), there was a slight dip in homeownership, reaching its lowest point of 87% in 2018. However, when interest rates dropped again in 2020 (0.38%) and 2021 (0.08%), homeownership rebounded to 92%, demonstrating the inverse relationship between interest rates and homeownership rates.
The renter population in zip code 03885 has remained relatively small but has shown some fluctuation. In 2013, renters made up 8% of the population, which increased to 12% by 2019 before decreasing back to 9% in 2022. Average rent prices have shown an overall upward trend, albeit with some volatility. In 2013, the average rent was $1,386, which peaked at $1,676 in 2018 before settling at $1,509 in 2022. This represents a 9% increase in average rent over the nine-year period, which is modest compared to the growth in home prices.
Moving into more recent years, the housing market in zip code 03885 has continued its upward trajectory. In 2023, the average home price reached $662,072, a further 8.2% increase from 2022. As of 2024, the average home price has climbed to $703,715, representing a 6.3% year-over-year increase. This continued growth is occurring despite the significant rise in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024. These higher interest rates would typically be expected to cool the housing market, yet prices continue to rise, indicating strong demand in this area.
Looking ahead, based on the historical data and current trends, we can project continued growth in both average home prices and rent prices for zip code 03885 over the next five years. Average home prices could potentially reach around $850,000 to $900,000 by 2029, assuming a conservative annual growth rate of 4-5%. Average rent prices might increase to approximately $1,700 to $1,800 per month in the same period, based on a modest 2-3% annual increase.
In summary, zip code 03885 in Newfields, New Hampshire, has demonstrated a robust and resilient housing market characterized by consistently high homeownership rates and steadily increasing property values. Despite rising interest rates and significant home price appreciation, the area has maintained its attractiveness to homeowners. The rental market, while smaller, has also shown stability with moderate price increases. The continued price growth in 2023 and 2024, even in the face of higher interest rates, suggests a strong local housing market that is likely to persist in the coming years.
