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Zip Code 12047: Rising Home Values and Shifting Ownership Trends in Cohoes, NY
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 12047, located in Cohoes, New York, has experienced significant changes in its housing market over the past decade. This area has seen a gradual shift in homeownership rates, fluctuating average rent prices, and a consistent increase in average home values. The interplay between these factors provides insights into the local real estate dynamics.
The homeownership rate in zip code 12047 has shown a slight decline from 2013 to 2022. In 2013, 51% of residents owned their homes, but by 2022, this figure had decreased to 49%. Conversely, the percentage of renters increased from 49% in 2013 to 51% in 2022. This shift coincides with a substantial rise in average home prices. In 2013, the average home price was $178,162, which steadily increased to $265,698 by 2022, representing a 49% growth over nine years.
Federal interest rates have played a role in shaping homeownership trends. From 2013 to 2016, interest rates remained below 0.5%, coinciding with a period of relatively stable homeownership rates around 50%. As interest rates began to rise from 2017 onwards, reaching 1.83% in 2018, there was a noticeable decline in homeownership, dropping to 47% that year. This trend suggests that higher interest rates may have made home purchases less affordable for some residents.
The rental market in zip code 12047 has seen fluctuations in average rent prices. In 2013, the average rent was $1,070, which decreased to $969 in 2015 before rising again to $1,172 in 2022. The renter population has grown from 49% in 2013 to 51% in 2022, indicating a slight preference shift towards renting. This trend could be attributed to the rising home prices and changes in interest rates, making renting a more attractive option for some residents.
Looking at the most recent data, the average home price in zip code 12047 reached $281,471 in 2023 and further increased to $294,854 in 2024. This represents a significant jump from the 2022 average of $265,698. Concurrently, federal interest rates have risen sharply, reaching 5.02% in 2023 and 5.33% in 2024. These high interest rates, combined with rising home prices, may pose challenges for potential homebuyers in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 12047 will continue to rise, potentially reaching around $340,000 by 2029. This projection is based on the consistent upward trend observed over the past decade. Average rent prices are also expected to increase, potentially reaching approximately $1,400 by 2029, assuming the current growth rate continues.
In summary, zip code 12047 has experienced a gradual shift towards renting, with homeownership rates declining slightly over the past decade. Average home prices have shown robust growth, nearly doubling since 2013. The rental market has seen fluctuations but generally trended upward. Recent sharp increases in both home prices and interest rates suggest a potentially challenging environment for new homebuyers, which may further reinforce the trend towards renting in the coming years.
