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Zip Code 22207: Stable Homeownership and Rising Values in Arlington
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 22207 in Arlington, Virginia, is a thriving suburban area known for its high homeownership rates and steadily increasing property values. This desirable neighborhood has maintained a consistent ownership rate of around 81-82% over the past decade, while experiencing significant growth in both average home prices and average rent prices.
The homeownership rate in zip code 22207 has remained remarkably stable, fluctuating between 81% and 82% from 2013 to 2022. During this period, average home prices have shown a strong upward trend. In 2013, the average home price was $861,285, which steadily increased to $1,272,937 by 2022, representing a 47.8% increase over nine years. This substantial rise in property values did not significantly impact homeownership rates, suggesting a robust and affluent local real estate market.
Federal interest rates have played a role in shaping homeownership trends in the area. From 2013 to 2016, interest rates remained very low, ranging from 0.09% to 0.4%. During this period, homeownership rates held steady at 81-82%, indicating that the low-interest environment supported existing homeowners and potentially encouraged new buyers. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates still maintained their stability, demonstrating the area's resilience to moderate interest rate increases.
Renter percentages in zip code 22207 have remained relatively constant, ranging from 17% to 19% between 2013 and 2022. Average rent prices, however, have shown considerable volatility. In 2013, the average rent was $1,871, which jumped dramatically to $2,806 in 2015, an increase of 50% in just two years. Since then, average rent prices have fluctuated, reaching a peak of $2,884 in 2019 before settling at $2,821 in 2022. Despite these fluctuations, the renter population has remained stable, suggesting that the area continues to attract renters who can afford the higher prices.
In 2023 and 2024, average home prices in zip code 22207 continued their upward trajectory. The average home price reached $1,280,461 in 2023 and further increased to $1,305,705 in 2024, representing a 2.6% year-over-year growth. This growth occurred despite a significant rise in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024. These higher interest rates have not yet dampened the local housing market's appreciation, indicating strong demand and economic resilience in the area.
Looking ahead, predictive models suggest that average home prices in zip code 22207 will continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. We can expect average home prices to reach approximately $1,450,000 by 2029. Average rent prices are also projected to increase, potentially reaching around $3,200 per month by 2029, assuming current trends continue.
In conclusion, zip code 22207 in Arlington, Virginia, demonstrates a robust and stable housing market characterized by high homeownership rates and steadily increasing property values. The area has shown resilience to interest rate fluctuations and economic changes, maintaining a consistent balance between owners and renters. The most significant trends observed are the substantial appreciation in average home prices, the volatility in average rent prices, and the area's ability to sustain high property values even in the face of rising interest rates. As we look to the future, both average home prices and average rent prices are expected to continue their upward trajectory, cementing zip code 22207's status as a desirable and valuable real estate market.
