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Zip Code 10588: Shifting Homeownership and Rising Property Values in Shrub Oak, New York
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
Shrub Oak, located in zip code 10588 in New York, has experienced significant changes in its real estate landscape over the past decade. This analysis explores the trends in homeownership rates, average home prices, and average rent prices, providing insights into the dynamic housing market of this area. The homeownership rate in Shrub Oak has shown a notable decline from 2013 to 2022. In 2013, the percentage of owner-occupied homes was 77%, which gradually increased to 83% by 2017. However, a sharp decline followed, with the homeownership rate dropping to 58% by 2022. This decrease in homeownership coincided with a substantial increase in average home prices. The average home price in 2013 was $305,502, which rose steadily to reach $504,578 in 2022, representing a 65% increase over this period.
The relationship between federal interest rates and homeownership rates in Shrub Oak follows a generally inverse pattern. As interest rates remained low from 2013 to 2016 (ranging from 0.11% to 0.40%), homeownership rates were relatively stable and high, peaking at 83% in 2017. However, as interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership rates declined sharply, falling to 58% by 2022.
Conversely, the percentage of renters in Shrub Oak has increased substantially, from 18% in 2013 to 42% in 2022. This trend aligns with the rise in average rent prices, which increased from $1,745 in 2013 to $1,702 in 2022. Despite some fluctuations, including a peak of $2,245 in 2018, the overall trend shows a moderate increase in average rent prices. The growing renter population, which more than doubled during this period, likely contributed to the sustained demand for rental properties.
In 2023 and 2024, the real estate market in Shrub Oak continued to evolve. The average home price in 2023 was $509,798, showing a slight increase from 2022. In 2024, the average home price further rose to $539,986, indicating a continued upward trend in property values. Concurrently, federal interest rates increased significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership rates and market dynamics.
Looking ahead, based on historical trends and current market conditions, it is projected that average home prices in Shrub Oak will continue to rise over the next five years, potentially reaching around $600,000 by 2029. Average rent prices are also expected to increase, albeit at a slower rate, potentially reaching approximately $1,900 per month in the same timeframe. These projections assume a continuation of current economic conditions and housing market trends.
In summary, Shrub Oak has experienced a significant shift from a predominantly owner-occupied community to one with a more balanced mix of owners and renters. The sharp increase in average home prices, coupled with rising interest rates, has likely contributed to the decline in homeownership rates. Meanwhile, the rental market has expanded, with both the renter population and average rent prices showing overall growth. These trends reflect a changing housing landscape in zip code 10588, with implications for both current residents and potential future inhabitants of this New York community.
