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Zip Code 32091: Rising Home Values and Shifting Ownership Trends in Starke, Florida
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 32091, located in Starke, Florida, presents an interesting case study in real estate trends over the past decade. This area has experienced notable shifts in homeownership rates and housing prices, reflecting broader economic changes and local market dynamics. The homeownership rate in zip code 32091 has seen a significant decline from 2013 to 2022. In 2013, 73% of residents owned their homes, but by 2022, this figure had dropped to 62%. This 11 percentage point decrease in homeownership occurred alongside a substantial increase in average home prices. In 2013, the average home price was $91,595, but by 2022, it had risen dramatically to $203,597, representing a 122% increase over this period. The relationship between federal interest rates and homeownership rates in this zip code shows an interesting pattern. From 2013 to 2015, when interest rates were at historic lows (ranging from 0.11% to 0.13%), homeownership rates still declined from 73% to 69%. This trend continued even as interest rates began to rise, with homeownership falling to 62% by 2018 when the federal interest rate reached 1.83%. This suggests that factors beyond interest rates, such as local economic conditions or housing supply, may have played a significant role in homeownership trends in this area.
As homeownership declined, the percentage of renters in zip code 32091 naturally increased, rising from 27% in 2013 to 38% in 2022. Interestingly, this increase in rental demand was not accompanied by a consistent rise in average rent prices. In 2013, the average rent was $975, which fluctuated over the years, reaching a peak of $975 in 2013 before declining to $726 in 2022. This 25.5% decrease in average rent over the period is unusual, especially given the increasing renter population, and may indicate other factors influencing the local rental market.
In 2023 and 2024, the housing market in zip code 32091 continued to evolve. The average home price rose to $214,714 in 2023 and further increased to $218,842 in 2024, representing a 7.5% increase from 2022 to 2024. This growth 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, potentially impacting mortgage affordability.
Looking ahead, predictive models suggest that average home prices in zip code 32091 may continue to rise over the next five years, albeit at a more moderate pace. The rate of increase is expected to slow down, possibly due to the higher interest rate environment. Average rent prices, which have shown volatility in recent years, are projected to stabilize and potentially see modest increases as the rental market adjusts to the growing renter population.
In summary, zip code 32091 has experienced a notable shift from homeownership to renting over the past decade, accompanied by significant increases in average home prices. The counterintuitive decrease in average rent prices despite increased rental demand presents an intriguing aspect of this market. As the area moves forward, the interplay between housing prices, rental rates, and broader economic factors will continue to shape the real estate landscape in this Florida community.
