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Zip Code 08104: Rising Home Values and Shifting Ownership in Camden, New Jersey
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 08104, located in Camden, New Jersey, has experienced significant demographic and housing market shifts over the past decade. This urban area has seen fluctuations in homeownership rates and notable changes in average home and rent prices, reflecting broader economic trends and local market dynamics.
The ownership percentage in zip code 08104 has shown some volatility between 2013 and 2022. In 2013, the homeownership rate stood at 35%, and it remained relatively stable until 2015 when it dipped to 32%. There was a slight recovery to 35% by 2018, followed by an increase to 37% in 2020. However, by 2022, the rate had fallen back to 32%. Interestingly, these changes in homeownership rates coincided with fluctuations in average home prices. The average home price in the area decreased from $74,584 in 2010 to a low of $41,664 in 2017, before beginning a steady climb to reach $79,319 in 2022. This represents a 90.4% increase in average home prices from 2017 to 2022, despite the decrease in homeownership rates during the same period.
Federal interest rates have played a role in shaping homeownership trends in zip code 08104. The period from 2010 to 2015 saw historically low interest rates, ranging from 0.09% to 0.18%. During this time, homeownership rates remained relatively stable around 35%. As interest rates began to rise from 2016 onwards, reaching 1.83% in 2018, there was a slight increase in homeownership to 37% by 2020. However, the sharp rise in interest rates to 1.68% in 2022 coincided with a drop in homeownership to 32%, suggesting that higher borrowing costs may have impacted affordability for potential buyers.
The renter population in zip code 08104 has shown an inverse relationship to homeownership trends. The percentage of renters increased from 65% in 2013 to 68% in 2015, then fluctuated between 65% and 68% in subsequent years, reaching 68% again in 2022. Average rent prices have shown some volatility, starting at $1,015 in 2013, peaking at $1,034 in 2014, and then generally declining to $934 in 2022. This represents an 8% decrease in average rent prices from 2013 to 2022. The increase in the renter population, despite lower average rent prices, may indicate broader economic factors affecting the area, such as changes in employment opportunities or shifts in housing preferences.
In 2023 and 2024, zip code 08104 experienced a significant surge in average home prices. The average home price rose to $87,755 in 2023 and further increased to $103,817 in 2024, representing a 30.9% increase from 2022 to 2024. This substantial growth occurred despite federal interest rates climbing to 5.02% in 2023 and 5.33% in 2024, which are the highest rates seen in over a decade.
Looking ahead, based on recent trends and current market conditions, we can project that average home prices in zip code 08104 may continue to rise over the next five years, potentially reaching around $130,000 to $140,000 by 2029. This projection assumes a continuation of the strong growth observed in recent years, albeit at a potentially slower pace due to higher interest rates. Average rent prices, which have been more volatile, may stabilize and potentially increase slightly, possibly reaching $1,000 to $1,050 per month by 2029, reflecting ongoing demand for rental properties in the area.
In summary, zip code 08104 has experienced a complex interplay of homeownership rates, average home prices, and rental market dynamics. The area has seen a recent surge in average home prices despite decreasing homeownership rates, while the rental market has remained relatively stable with a slight downward trend in average rents. The coming years may bring continued growth in home values and a potential stabilization of the rental market, shaped by broader economic factors and local market conditions.
