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Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Jacksonville's zip code 32206 presents an intriguing case study of housing dynamics in Florida. This urban area has experienced significant shifts in homeownership rates and property values over the past decade. The overall trend shows a gradual increase in homeownership, coupled with substantial growth in average home prices, while average rent prices have shown more moderate fluctuations.
The homeownership rate in zip code 32206 has seen a gradual increase from 41% in 2016 to 46% in 2022. This upward trend in homeownership coincides with a remarkable surge in average home prices. In 2016, the average home price was $37,703, which skyrocketed to $129,176 by 2022, representing a staggering 242% increase over six years. This dramatic rise in property values may have incentivized more residents to invest in homeownership, despite the potential challenges of affordability.
The relationship between federal interest rates and homeownership rates in this zip code shows an interesting pattern. As interest rates remained historically low between 2013 and 2021 (ranging from 0.08% to 1.83%), the homeownership rate increased from 45% to 46%. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. However, it's worth noting that the most significant jump in homeownership occurred between 2021 and 2022, rising from 45% to 46%, despite interest rates increasing from 0.08% to 1.68%.
Renter percentages in zip code 32206 have shown a slight decline, moving from 59% in 2016 to 54% in 2022. Interestingly, average rent prices have experienced moderate fluctuations during this period. The average rent was $794 in 2016, peaked at $874 in 2021, and then decreased to $752 in 2022. This decrease in average rent prices, coupled with the declining renter percentage, suggests a shift towards homeownership in the area. The population decline from 16,444 in 2016 to 15,783 in 2022 may have also influenced the rental market dynamics.
In 2023 and 2024, the housing market in zip code 32206 showed signs of stabilization. The average home price slightly decreased to $125,869 in 2023 but rebounded to $129,373 in 2024. This occurred despite federal interest rates rising significantly to 5.02% in 2023 and 5.33% in 2024, which typically would dampen housing demand. These figures suggest a resilient local housing market that has maintained its value even in the face of higher borrowing costs.
Looking ahead, predictive models suggest that average home prices in zip code 32206 may continue to rise, albeit at a more moderate pace. Over the next five years, we can expect average home prices to potentially reach the $150,000 to $170,000 range, assuming current economic conditions persist. Average rent prices are projected to increase modestly, potentially reaching $800 to $850 per month within the same timeframe.
In summary, zip code 32206 in Jacksonville has demonstrated a compelling shift towards increased homeownership, accompanied by substantial growth in property values. The area has shown resilience in maintaining housing values despite recent interest rate hikes. The rental market has experienced more moderate changes, with a slight decrease in both renter percentages and average rent prices. These trends collectively paint a picture of a transforming neighborhood with growing appeal for homeowners, potentially driven by the significant appreciation in property values over the past decade.