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Zip Code 14012: Rising Home Values and Ownership Rates in Rural Barker, 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 14012, located in Barker, New York, has experienced significant changes in homeownership rates and housing prices over the past decade. This rural area has seen a notable shift towards increased homeownership and fluctuating property values, reflecting broader economic trends and local market dynamics.
The ownership percentage in zip code 14012 has shown a remarkable upward trend, rising from 75% in 2017 to 89% in 2022. This substantial increase in homeownership coincides with a significant rise in average home prices. In 2017, the average home price was $131,902, which steadily increased to $214,465 by 2022, representing a 62.6% increase over five years. This pattern suggests a strong correlation between rising home values and increased homeownership rates in the area.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 14012. The period from 2017 to 2020 saw relatively low interest rates, ranging from 1% to 2.16%, which likely contributed to the growth in homeownership. The dramatic drop in interest rates to 0.08% in 2021 coincided with a surge in homeownership to 85%, up from 83% in 2020. This aligns with the well-established trend that lower interest rates generally encourage homeownership due to more affordable financing options.
Conversely, the renter percentage in zip code 14012 has decreased from 25% in 2017 to 11% in 2022. Interestingly, despite this decline in renters, average rent prices have shown volatility. The average rent peaked at $785 in 2017 before decreasing to $572 in 2022, a 27.1% reduction. This trend suggests that while fewer people are renting, those who do rent are facing lower costs, possibly due to decreased demand or local economic factors.
Looking at the most recent data, the average home price in zip code 14012 reached $215,880 in 2023 and further increased to $221,012 in 2024. This represents a steady growth of 3.1% from 2022 to 2024. Notably, federal interest rates have also risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership trends and affordability in the area.
Applying predictive models to forecast 5-year trends, we anticipate continued growth in average home prices, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $240,000 to $250,000 by 2029. Rent prices may stabilize or show modest increases, potentially reaching $600 to $650 per month, as the rental market adjusts to the smaller renter population and overall economic conditions.
In summary, zip code 14012 has experienced a significant shift towards homeownership, with a corresponding rise in average home prices. The interplay between federal interest rates, homeownership rates, and housing prices has been evident, with lower rates historically supporting increased homeownership. The rental market has contracted, with fewer renters and lower average rents. As interest rates have recently increased, it will be crucial to monitor how these changes affect the housing market dynamics in this rural New York community over the coming years.
