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Zip Code 07032: Kearny's Resilient Real Estate Market Amid Rising Home Values
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Kearny, located in zip code 07032 in New Jersey, has experienced notable shifts in its housing market over the past decade. This analysis explores the trends in homeownership, average home prices, and average rent prices in this densely populated area. The homeownership rate in Kearny has remained relatively stable, with a slight increase from 46% in 2013 to 47% in 2022. During this period, average home prices have shown a significant upward trend. In 2013, the average home price was $271,621, which steadily increased to $477,177 by 2022, representing a 75.7% increase over nine years. This substantial rise in home values did not significantly impact homeownership rates, suggesting that other factors may have played a role in maintaining the ownership percentage.
Federal interest rates have fluctuated over the years, potentially influencing homeownership trends. From 2013 to 2016, interest rates remained very low, below 0.5%. During this period, homeownership rates held steady at 46%. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, there was a slight increase in homeownership to 47%. This suggests that despite rising interest rates, other factors such as local economic conditions or housing policies may have supported homeownership in Kearny.
The percentage of renters in Kearny has shown a minor decrease, from 54% in 2013 to 53% in 2022. Concurrently, average rent prices have experienced a steady increase. In 2013, the average rent was $1,240, which rose to $1,343 by 2022, an 8.3% increase over nine years. This moderate rise in rent prices, compared to the more substantial increase in home prices, may have contributed to the relatively stable renter population. The population of Kearny has fluctuated, peaking at 42,549 in 2017 before settling at 41,249 in 2022, which could have influenced the demand for rental properties.
Looking at more recent data, the average home price in Kearny continued to rise, reaching $492,998 in 2023 and $513,771 in 2024. This represents a 7.7% increase from 2022 to 2024. Concurrently, federal interest rates have significantly increased, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates could potentially impact future homeownership trends and housing affordability in the area.
Applying predictive models to forecast 5-year trends, it's anticipated that average home prices in Kearny will continue to rise, potentially reaching around $600,000 by 2029. Average rent prices are also expected to increase, possibly surpassing $1,600 per month in the same timeframe. These projections assume a continuation of current economic conditions and housing market trends.
In summary, Kearny has experienced a significant increase in average home prices over the past decade, with a more moderate rise in average rent prices. Despite these changes, homeownership rates have remained relatively stable with a slight increase. The relationship between federal interest rates and homeownership in this area appears complex, with other local factors likely playing a significant role. As home prices continue to rise and interest rates remain high, it will be crucial to monitor how these factors affect housing affordability and homeownership rates in Kearny in the coming years.
