Loading Content...
Zip Code 18064: Rising Home Values and Shifting Ownership Trends in Nazareth, PA
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 18064, located in Nazareth, Pennsylvania, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area has seen a gradual increase in population and housing density, accompanied by fluctuations in the real estate market.
The homeownership rate in zip code 18064 has shown a slight downward trend from 2013 to 2022. In 2013, 80% of residents were homeowners, while by 2022, this figure had decreased to 76%. During this same period, average home prices in the area have seen significant growth. In 2013, the average home price was $234,120, and by 2022, it had risen to $365,819, representing a 56.3% increase over nine years. This inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less accessible for some residents.
Federal interest rates have played a role in shaping homeownership trends in zip code 18064. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable at around 79%. However, as interest rates began to rise more significantly from 2017 (1.00%) to 2019 (2.16%), homeownership rates dipped to 76-77%. This trend aligns with the general principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
Renter percentages in zip code 18064 have shown a corresponding increase as homeownership rates declined. In 2013, 20% of residents were renters, and by 2022, this percentage had increased to 24%. Average rent prices have also risen during this period, from $934 in 2013 to $1,267 in 2022, a 35.7% increase. The population growth from 23,618 in 2013 to 26,452 in 2022 likely contributed to the increased demand for rental properties and the subsequent rise in rent prices.
In 2023 and 2024, average home prices in zip code 18064 continued to rise, reaching $382,194 in 2023 and $401,453 in 2024. This represents a further 9.7% increase from 2022 to 2024. Simultaneously, federal interest rates have climbed significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership trends in the area.
Looking ahead, predictive models suggest that average home prices in zip code 18064 are likely to continue their upward trajectory over the next five years, potentially reaching around $450,000 by 2029. Average rent prices are also expected to increase, possibly surpassing $1,500 per month within the same timeframe. These projections are based on historical trends and current market conditions.
In summary, zip code 18064 has experienced a gradual shift towards more renters and fewer homeowners over the past decade, coinciding with substantial increases in both average home prices and rent. The interplay between federal interest rates, population growth, and housing market dynamics has shaped these trends. As the area continues to evolve, it will be important to monitor how these factors influence housing affordability and accessibility for residents in the coming years.
