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Zip Code 07717: Rising Home Values and Ownership Rates in Avon-by-the-Sea, NJ
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 07717, located in Avon-by-the-Sea, New Jersey, is a small coastal community known for its charming beachfront and close-knit neighborhood atmosphere. This area has experienced notable shifts in homeownership rates and property values over the past decade, with a general trend towards increased owner-occupancy and rising average home prices.
The homeownership rate in zip code 07717 has shown a steady increase from 2013 to 2022. In 2013, 61% of housing units were owner-occupied. This figure rose consistently, reaching 68% by 2022. Concurrently, average home prices in the area have experienced significant growth. In 2013, the average home price was $890,663, which increased to $1,676,440 by 2022, representing an impressive 88.2% increase over nine years.
Federal interest rates have played a role in shaping homeownership trends in zip code 07717. From 2013 to 2016, interest rates remained relatively low, hovering around 0.1% to 0.4%. During this period, homeownership rates increased from 61% to 62%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership continued to climb, reaching 66% by 2019. This trend suggests that other factors, such as the desirability of the area, may have outweighed the impact of rising interest rates on homeownership decisions.
Renter percentages in zip code 07717 have inversely mirrored the homeownership trend, declining from 39% in 2013 to 32% in 2022. Despite this decrease in the proportion of renters, average rent prices have generally increased. In 2013, the average rent was $1,355, which rose to $1,427 by 2022, an increase of 5.3%. It's worth noting that the population in the area decreased from 1,960 in 2013 to 1,791 in 2022, which may have influenced the rental market dynamics.
As of 2024, the average home price in zip code 07717 stands at $1,675,587, showing a slight decrease from the 2022 peak of $1,676,440. This minor adjustment comes amidst a significant increase in federal interest rates, which reached 5.33% in 2024. The 2023 average home price was $1,655,415, indicating a small recovery in 2024 despite the high interest rate environment.
Looking ahead, based on historical trends and current market conditions, we can project potential scenarios for the next five years. Average home prices in zip code 07717 may continue to appreciate, albeit at a more moderate pace than seen in recent years. A conservative estimate might suggest an annual growth rate of 3-5%, potentially reaching around $2 million by 2029. Average rent prices could follow a similar trajectory, potentially increasing to approximately $1,600-$1,700 per month by 2029, assuming continued demand for rental properties in this desirable coastal area.
In summary, zip code 07717 has demonstrated a clear trend towards increased homeownership and rising property values over the past decade. Despite fluctuations in interest rates and a decreasing population, the area has maintained its appeal, reflected in the substantial growth of average home prices. The rental market, while shrinking in proportion, has seen modest increases in average rent. These trends, coupled with the area's attractive coastal location, suggest that Avon-by-the-Sea will likely continue to be a sought-after residential area in the coming years.
