Loading Content...
Zip Code 12066: Rising Home Values and Ownership Rates in Rural Esperance, 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
Esperance, located in zip code 12066 in New York state, presents an intriguing case study of homeownership and housing market dynamics. This small community has experienced significant shifts in its ownership rates, average home prices, and average rent prices over the past decade, reflecting broader economic trends and local market conditions.
The homeownership rate in Esperance has shown a notable increase from 2013 to 2022. In 2013, the ownership rate stood at 86%, and by 2022, it had risen to 88%. This upward trend in homeownership coincided with a substantial increase in average home prices. In 2013, the average home price was $143,396, and by 2022, it had climbed to $235,464, representing a 64% increase over this period. This correlation suggests that rising property values may have incentivized more residents to invest in homeownership, despite the potential challenges of affordability.
The relationship between federal interest rates and homeownership rates in Esperance presents an interesting dynamic. From 2013 to 2020, interest rates remained relatively low, ranging from 0.09% to 2.16%. During this period, homeownership rates fluctuated slightly but generally remained high, between 82% and 86%. The low interest rate environment likely contributed to maintaining these high homeownership levels by making mortgages more affordable. Notably, as interest rates began to rise more sharply in 2022 to 1.68%, the homeownership rate in Esperance actually increased to 88%, suggesting that local factors may have outweighed the impact of rising interest rates on homeownership decisions.
Renter percentages in Esperance have shown an inverse relationship to homeownership rates, naturally decreasing as ownership increased. In 2013, the renter percentage was 14%, and it fluctuated over the years, reaching a peak of 18% in 2016 before declining to 12% by 2022. Average rent prices have shown volatility during this period. In 2013, the average rent was $1,210, and it decreased to $1,018 in 2014. By 2022, the average rent had decreased slightly to $1,098. This trend suggests that despite the overall increase in property values, the rental market in Esperance has remained relatively stable, possibly due to local economic factors or housing policies.
In 2023 and 2024, the housing market in Esperance continued its upward trajectory. The average home price in 2023 reached $245,352, a 4.2% increase from 2022. In 2024, it further increased to $257,628, representing a 5% year-over-year growth. This continued appreciation occurred despite the Federal interest rate rising to 5.02% in 2023 and 5.33% in 2024, indicating strong local demand for housing that outweighed the potential dampening effect of higher borrowing costs.
Looking ahead, predictive models suggest that average home prices in Esperance are likely to continue their upward trend over the next five years, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $300,000 by 2029, representing a 16.4% increase from 2024 levels. Average rent prices are projected to remain relatively stable, possibly increasing to around $1,200 by 2029, reflecting a modest 9.3% increase from 2022 levels.
In summary, Esperance (zip code 12066) has experienced a significant increase in homeownership rates and average home prices over the past decade, defying the potential constraints of rising interest rates. The rental market has remained relatively stable, with fluctuations in both renter percentages and average rent prices. The continued appreciation of home values, even in the face of higher interest rates, suggests a robust local housing market driven by strong demand and potentially limited supply.
