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Zip Code 32222: Rising Home Values and Shifting Ownership Trends in Jacksonville, 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 32222, located in Jacksonville, Florida, has experienced significant demographic and housing market changes over the past decade. This area has seen a notable increase in population and fluctuations in homeownership rates, accompanied by substantial growth in average home prices and rent costs.
The homeownership rate in zip code 32222 has shown a general decline from 2013 to 2022, with some fluctuations. In 2013, the homeownership rate was 81%, which decreased to 70% by 2022. This trend coincides with a substantial increase in average home prices. In 2013, the average home price was $141,592, which more than doubled to $338,772 by 2022. This inverse relationship suggests that rising home prices may have made homeownership less accessible for some residents.
Federal interest rates have played a significant role in homeownership trends. From 2013 to 2016, when interest rates were exceptionally low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable, hovering around 73-81%. However, as interest rates began to rise from 2017 (1.00%) to 2019 (2.16%), homeownership rates declined from 72% to 69%. Interestingly, despite a sharp drop in interest rates in 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates only slightly increased to 76% in 2020 before dropping again to 70% in 2022 as interest rates rose to 1.68%.
The renter population in zip code 32222 has generally increased over time, from 19% in 2013 to 30% in 2022. This trend aligns with the rise in average rent prices, which increased from $1,246 in 2013 to $1,262 in 2022. However, rent prices have not risen as dramatically as home prices, potentially making renting a more attractive option for some residents. The population growth in the area, from 10,278 in 2013 to 17,792 in 2022, may have also contributed to increased demand for rental properties.
In 2023 and 2024, we see a slight decline in average home prices, from $338,772 in 2022 to $336,219 in 2023 and $333,997 in 2024. This decrease coincides with a significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates likely contributed to cooling the housing market and slightly decreasing home prices.
Looking ahead, based on current trends, we can predict that average home prices in zip code 32222 may continue to stabilize or potentially decrease slightly over the next five years if interest rates remain high. However, given the area's population growth and previous price resilience, any decrease is likely to be modest. Average rent prices are expected to continue rising gradually, driven by population growth and potential shifts from homeownership to renting due to high home prices and interest rates.
In summary, zip code 32222 has experienced a decline in homeownership rates alongside substantial increases in average home prices over the past decade. The recent stabilization of home prices, coupled with rising interest rates, suggests a potential shift in the housing market dynamics. The rental market has seen steady growth, both in the percentage of renters and average rent prices, reflecting the area's population growth and changing housing preferences.
