Loading Content...
Zip Code 27023: Rising Home Values and Shifting Ownership in Lewisville, NC
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 27023, located in Lewisville, North Carolina, has experienced significant changes in its housing market over the past decade. This area has seen a gradual shift in homeownership rates, coupled with fluctuations in average home prices and average rent prices. The trends observed in this zip code reflect broader economic factors and local demographic changes, providing insight into the evolving real estate landscape of this small town.
From 2013 to 2022, homeownership rates in zip code 27023 showed a slight decline. In 2013, 90% of residents owned their homes, but by 2022, this figure had decreased to 83%. Concurrently, average home prices experienced substantial growth. In 2013, the average home price was $202,027, which steadily increased to $347,227 by 2022, representing a 71.9% 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 crucial role in shaping homeownership trends in zip code 27023. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable, hovering around 88-90%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates declined to 83%. This trend aligns with the general principle that lower interest rates encourage homeownership due to more affordable financing options, while higher rates can make mortgages less attainable for potential buyers.
The renter population in zip code 27023 has grown steadily, increasing from 10% in 2013 to 17% in 2022. This growth in renters coincided with fluctuations in average rent prices. In 2013, the average rent was $1,010, which peaked at $1,348 in 2016 before settling at $996 in 2022. The population of the zip code also increased from 10,819 in 2013 to 13,491 in 2022, a 24.7% growth. This population increase, combined with rising home prices, likely contributed to the growing renter population as more residents sought affordable housing options.
In 2023 and 2024, the housing market in zip code 27023 continued to evolve. The average home price rose to $364,977 in 2023 and further increased to $379,896 in 2024, representing a 9.4% growth over two years. This price appreciation occurred despite a significant increase in federal interest rates, which jumped to 5.02% in 2023 and 5.33% in 2024. These high interest rates typically make mortgages more expensive, yet home prices in this area continued to rise, suggesting strong demand or limited supply in the local market.
Looking ahead, predictive models forecast continued growth in both average home prices and average rent prices over the next five years. Average home prices are projected to reach approximately $450,000 by 2029, representing an 18.5% increase from 2024 levels. Average rent prices are expected to climb to around $1,200 per month, a 20.5% increase from 2022 figures. These projections assume a continuation of current trends and do not account for potential economic shocks or policy changes.
The analysis of zip code 27023 reveals several important trends. Homeownership rates have gradually declined while average home prices have significantly increased. The renter population has grown, likely due to a combination of population growth and rising home prices. Federal interest rates have shown a strong influence on homeownership trends. Despite recent increases in interest rates, home prices have continued to rise, indicating robust demand in the local real estate market. As the area continues to grow, it's likely to see further increases in both home prices and rent prices, potentially leading to ongoing shifts in the balance between homeowners and renters.
