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Zip Code 11222: Rising Home Values and Shifting Ownership Patterns in Brooklyn's Vibrant Community
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 11222, located in Brooklyn, New York, is a vibrant urban area covering 1.96 square miles. This densely populated neighborhood has seen significant changes in homeownership rates, average home prices, and average rent prices over the past decade, reflecting the dynamic nature of New York City's real estate market.
The homeownership rate in zip code 11222 has shown a declining trend from 2013 to 2022. In 2013, 20% of residents owned their homes, but by 2022, this figure had decreased to 18%. During this same period, average home prices experienced substantial growth. In 2013, the average home price was $598,822, which more than doubled to $1,156,563 by 2022. This inverse relationship suggests that as home prices increased, homeownership became less attainable for many residents.
Federal interest rates have played a role in shaping homeownership trends. From 2013 to 2016, when interest rates were consistently low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable at around 20-21%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates declined to 18%. This trend aligns with the general understanding that higher interest rates can make mortgages less affordable, potentially discouraging homeownership.
The percentage of renters in zip code 11222 has increased from 80% in 2013 to 82% in 2022. Correspondingly, average rent prices have risen significantly. In 2013, the average rent was $1,686, which increased to $2,217 by 2022, representing a 31.5% increase over nine years. This upward trend in both renter percentage and average rent prices suggests a growing demand for rental properties in the area, possibly driven by the increasing population, which grew from 34,610 in 2013 to 41,627 in 2022.
Looking at more recent data, the average home price in zip code 11222 continued to rise in 2023, reaching $1,168,121. In 2024, it further increased to $1,174,232. Interestingly, federal interest rates also saw a significant increase, rising from 5.02% in 2023 to 5.33% in 2024. Despite these high interest rates, home prices have continued to appreciate, indicating strong demand in this Brooklyn neighborhood.
Applying predictive models to forecast 5-year trends, we can anticipate continued growth in both average home prices and average rent prices in zip code 11222. Based on historical data and current market conditions, average home prices could potentially reach $1.3 million by 2029. Average rent prices might surpass $2,500 per month within the same timeframe, assuming the current growth rate persists.
In summary, zip code 11222 in Brooklyn has experienced a clear trend of decreasing homeownership rates alongside rapidly increasing average home prices. The renter population has grown, accompanied by rising average rent prices. Despite high interest rates, home prices continue to appreciate, reflecting the area's desirability. These trends suggest a competitive and increasingly expensive real estate market in this Brooklyn neighborhood, with a growing emphasis on rental properties to meet housing demands.
