Loading Content...
Zip Code 28212: Charlotte's Dynamic Housing Market Sees Tripling of Average Home Values
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 28212, located in Charlotte, North Carolina, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area has seen a general trend of increasing property values and rental costs, coupled with fluctuations in the proportion of owners to renters.
The homeownership rate in zip code 28212 has shown some variability over the years. In 2013, the area had a 33% homeownership rate, which remained stable through 2014. There was a slight decrease to 31% in 2015 and 2016, followed by a gradual increase to 36% by 2022. This upward trend in homeownership coincided with a substantial rise in average home prices. In 2013, the average home price was $92,959, which more than tripled to $306,288 by 2022. This significant appreciation in property values may have influenced more residents to invest in homeownership, despite the increasing costs.
Federal interest rates have played a role in shaping homeownership trends in the area. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.09% to 0.40%. This likely contributed to the slight increase in homeownership from 31% in 2016 to 32% in 2017. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, the homeownership rate continued to climb to 36%, suggesting that other factors such as local economic conditions and housing market dynamics may have had a stronger influence on homeownership decisions in this zip code.
The rental market in zip code 28212 has also seen notable changes. The percentage of renters decreased from 69% in 2015 to 64% in 2022. Despite this decrease, average rent prices have consistently increased. In 2013, the average rent was $910, rising to $1,146 by 2021, before slightly decreasing to $1,076 in 2022. This overall upward trend in rent prices, even as the proportion of renters decreased, may be attributed to factors such as increasing property values and a growing population, which rose from 40,934 in 2013 to 44,293 in 2022.
As of 2024, the average home price in zip code 28212 has reached $321,797, representing a 4.9% increase from the 2022 figure of $306,288. This continued appreciation occurs against a backdrop of higher interest rates, with the federal interest rate at 5.33% in 2024. Despite these higher rates, the steady increase in home values suggests ongoing demand in the area.
Looking ahead, predictive models forecast a continuation of the upward trend in both average home prices and rent prices over the next five years. Average home prices are expected to continue their ascent, potentially reaching around $380,000 to $400,000 by 2029. Similarly, average rent prices are projected to increase, possibly surpassing $1,300 per month within the same timeframe. These predictions are based on historical trends and assume relatively stable economic conditions.
In summary, zip code 28212 has demonstrated resilience and growth in its housing market. The area has seen a gradual increase in homeownership rates despite rapidly appreciating home values. The rental market, while experiencing a slight decrease in the proportion of renters, has maintained strong demand with consistently rising average rents. These trends, coupled with population growth and the current trajectory of home prices, suggest a robust and dynamic housing market in this Charlotte neighborhood for the foreseeable future.
