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Zip Code 27511: Rising Home Values and Stable Ownership in Cary, NC
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 27511, located in Cary, North Carolina, presents an intriguing case study of real estate trends in a growing suburban area. Over the past decade, this zip code has seen significant changes in homeownership rates, average home prices, and average rent prices, reflecting broader economic shifts and local market dynamics.
The homeownership rate in zip code 27511 has shown a gradual increase over the years, rising from 67% in 2013 to 68% in 2022. This upward trend in homeownership coincides with a substantial increase in average home prices. In 2013, the average home price in this area was $203,154, which more than doubled to $468,752 by 2022, representing a remarkable 131% increase over nine years. This correlation suggests that despite rising prices, the area has remained attractive to potential homeowners, possibly due to its desirable location or local economic opportunities.
The relationship between federal interest rates and homeownership rates in this zip code presents an interesting dynamic. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.4%), homeownership rates remained stable at around 66-67%. However, as interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates actually increased slightly to 68%. This trend suggests that other factors, such as local economic conditions or housing market dynamics, may have had a stronger influence on homeownership decisions in this area than interest rates alone.
Regarding rental trends, the percentage of renters in zip code 27511 has remained relatively stable, decreasing slightly from 33% in 2013 to 32% in 2022. However, average rent prices have seen a significant increase during this period. In 2013, the average rent was $1,096, which rose to $1,480 by 2022, representing a 35% increase. This rise in rent prices, while substantial, was not as dramatic as the increase in home prices. The stability in the renter percentage despite rising rents might indicate a strong rental market in the area, possibly driven by factors such as job opportunities or the desirability of the location.
Looking at the most recent data, the average home price in zip code 27511 continued its upward trajectory, reaching $482,240 in 2023 and further increasing to $502,710 in 2024. This represents a 7.2% increase from 2022 to 2024, indicating a continued strong housing market in the area. Notably, these price increases occurred despite a significant rise in federal interest rates, which jumped from 1.68% in 2022 to 5.02% in 2023 and 5.33% in 2024. This suggests a robust demand for housing in this zip code, potentially driven by factors such as local economic growth or the area's attractiveness to new residents.
Applying predictive models to forecast 5-year trends, we can anticipate continued growth in both average home prices and rent prices in zip code 27511. Based on historical data and current market conditions, average home prices could potentially reach around $600,000 by 2029, assuming a moderate annual growth rate. Average rent prices might increase to approximately $1,800 per month in the same timeframe, reflecting the area's ongoing desirability and economic stability.
In summary, zip code 27511 in Cary, North Carolina, has demonstrated a robust and growing real estate market over the past decade. The area has seen a steady increase in homeownership rates despite rapidly rising home prices, indicating strong demand and potentially favorable local economic conditions. The rental market has remained stable in terms of occupancy while experiencing significant price appreciation. These trends, combined with the area's resilience in the face of rising interest rates, suggest a continued positive outlook for both homeowners and investors in this zip code.
