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Zip Code 12743: Eldred's Rising Home Values and Ownership Rates Defy Interest Rate Trends
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 12743, located in Eldred, New York, has experienced significant shifts in homeownership rates and housing prices over the past decade. This rural area has seen a notable increase in homeownership, coupled with substantial growth in average home values.
The trend in homeownership rates in zip code 12743 shows a remarkable upward trajectory. In 2013, 76% of residents were homeowners, but by 2022, this figure had risen dramatically to 91%. This 15 percentage point increase represents a significant shift towards homeownership in the community. Concurrently, average home prices have shown a steady upward trend. In 2013, the average home price was $197,886, which rose to $379,245 by 2022, marking a 91.6% increase over this period.
The relationship between federal interest rates and homeownership rates in this zip code presents an interesting dynamic. Despite fluctuations in interest rates, the homeownership rate has consistently increased. For instance, when interest rates were at a low of 0.08% in 2021, homeownership stood at 87%. Interestingly, even as interest rates rose to 1.68% in 2022, homeownership continued to climb to 91%. This suggests that factors beyond interest rates, such as local economic conditions or housing supply, may have played a significant role in driving homeownership in this area.
The renter population in zip code 12743 has seen a corresponding decrease as homeownership rates have risen. In 2013, 24% of residents were renters, but by 2022, this had dropped to just 8%. Despite this decrease in the renter population, average rent prices have shown considerable volatility. In 2013, the average rent was $851, which peaked at $1,641 in 2015 before settling at $1,291 in 2022. This represents a 51.7% increase in average rent from 2013 to 2022, despite the shrinking renter population.
In 2023 and 2024, the upward trend in average home prices continued in zip code 12743. The average home price reached $385,272 in 2023 and further increased to $397,759 in 2024. This represents a 1.6% increase from 2022 to 2023 and a 3.2% increase from 2023 to 2024. Notably, federal interest rates also saw a significant rise during this period, reaching 5.02% in 2023 and 5.33% in 2024.
Looking ahead, based on the observed trends, we can project that average home prices in zip code 12743 will continue to rise over the next five years, albeit potentially at a more moderate pace. The average home price could potentially reach around $450,000 by 2029. Average rent prices, while more volatile, may also continue their upward trajectory, potentially reaching around $1,500 by 2029.
In summary, zip code 12743 has experienced a significant shift towards homeownership, with a concurrent rise in both average home prices and rent prices. Despite rising interest rates, the area has maintained strong growth in property values, suggesting a robust local housing market. The continued increase in homeownership rates, even in the face of rising home prices, indicates a strong desire for property ownership in this community.
