Loading Content...
Zip Code 10805: Rising Home Values and Ownership in New Rochelle, NY
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 10805, located in New Rochelle, New York, has seen significant changes in its housing market over the past decade. This area, covering 1.73 square miles, has experienced fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 10805 has shown a steady increase from 35% in 2013 to 44% in 2022. This upward trend in homeownership coincides with a substantial rise in average home prices. In 2013, the average home price was $333,382, which increased to $499,763 by 2022, representing a 49.9% increase over nine years. This positive correlation between homeownership rates and average home prices suggests that despite rising costs, more residents in the area have been able to enter the housing market.
The relationship between federal interest rates and homeownership rates in this zip code presents an interesting dynamic. From 2013 to 2016, when interest rates were exceptionally low (ranging from 0.11% to 0.4%), homeownership rates increased from 35% to 37%. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership rates continued to climb, reaching 44%. This trend suggests that other factors, such as local economic conditions or housing policies, may have had a stronger influence on homeownership than interest rates alone in this particular zip code.
Renter percentages in zip code 10805 have inversely mirrored the homeownership trend, declining from 65% in 2013 to 56% in 2022. Despite this decrease in the proportion of renters, average rent prices have shown a consistent upward trajectory. The average rent increased from $1,296 in 2013 to $1,555 in 2022, a 20% increase over nine years. This rise in rent prices, coupled with a decreasing percentage of renters, may indicate increasing housing costs across the board, potentially pushing some renters towards homeownership or relocation.
In 2023 and 2024, the housing market in zip code 10805 continued its upward trajectory. The average home price reached $527,579 in 2023 and further increased to $546,425 in 2024, representing a 9.3% increase from 2022 to 2024. This growth occurred despite a significant rise in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for new homebuyers.
Looking ahead, based on historical trends and current market conditions, we can project continued growth in both average home prices and rent prices over the next five years. Average home prices could potentially reach around $650,000 by 2029, assuming a similar growth rate to recent years. Average rent prices might increase to approximately $1,800 per month in the same timeframe, following the current trajectory.
In summary, zip code 10805 has experienced a notable shift towards increased homeownership, accompanied by substantial growth in both average home prices and rent prices. The area has demonstrated resilience in its housing market, with homeownership rates rising even in the face of increasing home prices and fluctuating interest rates. These trends suggest a robust local housing market with continued potential for growth, although affordability may become an increasing concern for both buyers and renters in the coming years.
