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Zip Code 11375: Rising Home Values and Ownership Trends in Queens' Forest Hills Area
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 11375, located in Queens, New York, has experienced significant changes in its housing market over the past decade. This densely populated area has seen fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market dynamics.
From 2013 to 2022, the homeownership rate in zip code 11375 increased from 50% to 53%. During this same period, average home prices rose substantially, from $366,131 in 2013 to $626,438 in 2022, representing a 71% increase. This trend suggests a positive correlation between rising home values and homeownership rates. The most significant jump in average home prices occurred between 2017 and 2018, with a 17.4% increase from $530,321 to $622,805.
Federal interest rates have played a role in shaping homeownership trends in zip code 11375. For instance, the period from 2013 to 2016 saw historically low interest rates, ranging from 0.09% to 0.4%. During this time, homeownership rates remained stable at 50%, while average home prices increased steadily. As interest rates began to rise from 2017 to 2019 (1% to 2.16%), homeownership rates actually increased slightly to 51%, possibly due to buyers rushing to purchase homes before rates climbed further.
Renter percentages in zip code 11375 decreased from 50% in 2013 to 47% in 2022, mirroring the increase in homeownership. Average rent prices, however, showed a consistent upward trend, rising from $1,605 in 2013 to $1,853 in 2022, a 15.5% increase. The population of the zip code also grew during this period, from 69,836 in 2013 to 76,308 in 2022, which likely contributed to the increased demand for rental properties and the subsequent rise in average rent prices.
In 2023 and 2024, the housing market in zip code 11375 experienced a significant shift. Average home prices dropped sharply from $626,438 in 2022 to $523,751 in 2023, and further to $477,187 in 2024. This represents a 23.8% decrease over two years. Concurrently, federal interest rates rose dramatically, reaching 5.02% in 2023 and 5.33% in 2024, the highest levels since 2007. These high interest rates likely contributed to the cooling of the housing market and the decrease in average home prices.
Looking ahead to the next five years, predictive models suggest that average home prices in zip code 11375 may continue to face downward pressure in the short term due to high interest rates. However, as the market adjusts, prices are expected to stabilize and potentially begin a gradual upward trend, albeit at a slower pace than seen in the previous decade. Average rent prices are projected to continue their upward trajectory, driven by the area's consistent population growth and the potential shift towards renting as high interest rates make homeownership less affordable for some.
In summary, zip code 11375 has demonstrated resilience in its housing market, with increasing homeownership rates despite rising home prices over the past decade. The recent sharp decline in average home prices, coupled with rising interest rates, marks a significant shift in the market dynamics. Moving forward, the interplay between interest rates, housing affordability, and population growth will be crucial in shaping the area's housing landscape.
