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Zip Code 12087: Rising Home Values and High Ownership Rates in New Baltimore, New York
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 12087, located in New Baltimore, New York, is a small community that has experienced fluctuating trends in homeownership and housing prices over the past decade. This area has maintained a high rate of owner-occupied housing, with average home prices showing a significant upward trajectory, particularly in recent years.
The homeownership rate in zip code 12087 has remained consistently high, albeit with some minor fluctuations. In 2013, the area boasted a remarkable 95% homeownership rate. This rate slightly decreased to 88% by 2019 but rebounded to 90% in 2022. Concurrently, average home prices have shown a steady increase. In 2013, the average home price was $157,181, which rose to $192,805 by 2019, representing a 22.7% increase over six years. The trend accelerated dramatically from 2020 to 2022, with average home prices surging from $212,944 to $307,758, a substantial 44.5% increase in just two years.
The relationship between federal interest rates and homeownership rates in this zip code doesn't follow the typical inverse correlation seen in many markets. Despite historically low interest rates from 2013 to 2021 (ranging from 0.08% to 0.14%), the homeownership rate actually decreased slightly from 95% to 90%. This suggests that other local factors may have a stronger influence on homeownership in this area than national interest rate trends.
Renter percentages and average rent prices in zip code 12087 have shown interesting patterns. The renter-occupied housing rate increased from 5% in 2013 to 12% in 2019, before settling at 10% in 2022. Average rent prices have been volatile, peaking at $1,199 in 2014, dropping to $791 in 2019, and then rising again to $854 in 2022. These fluctuations might be attributed to the small rental market in the area, where changes in a few properties can significantly impact average prices.
In 2023 and 2024, average home prices in zip code 12087 continued their upward trend, reaching $318,420 in 2023 and $330,593 in 2024. This represents a 3.5% and 3.8% year-over-year increase, respectively. Interestingly, this growth occurred despite a significant rise in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024, the highest levels since 2007.
Looking ahead, predictive models suggest that average home prices in zip code 12087 may continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are expected to remain volatile but may trend upward in response to increased demand from those priced out of homeownership. However, the limited rental market in this area may lead to significant fluctuations in average rent prices.
In summary, zip code 12087 has maintained a high rate of homeownership despite recent increases in home prices. The area has shown resilience in its housing market, with home values appreciating significantly even in the face of rising interest rates. The rental market, while small, has seen notable fluctuations in both occupancy rates and prices. These trends suggest a strong local housing market with potential for continued growth, albeit with possible moderation due to broader economic factors.
