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Zip Code 32258: Rising Home Values and Shifting Ownership in Jacksonville's Growing Community
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
Jacksonville, Florida's zip code 32258 has experienced significant growth and change over the past decade. This suburban area has seen a steady increase in population and housing prices, with notable shifts in homeownership rates and rental markets.
The homeownership rate in zip code 32258 has fluctuated over the years, showing a general downward trend from 73% in 2013 to 69% in 2022. This shift coincides with a substantial increase in average home prices, which rose from $183,187 in 2010 to $379,710 in 2022, representing a 107% increase over 12 years. The relationship between homeownership rates and average home prices suggests that as properties became more expensive, fewer residents could afford to purchase homes, leading to a slight decrease in owner-occupancy.
Federal interest rates have played a role in homeownership trends in the area. For instance, when interest rates were at historic lows between 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates in the zip code increased from 68% in 2019 to 74% in 2020, before settling at 71% in 2021. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options.
The rental market in zip code 32258 has shown interesting trends as well. The percentage of renters increased from 27% in 2013 to 31% in 2022, mirroring the decline in homeownership. Average rent prices have also risen, albeit more moderately compared to home prices. In 2013, the average rent was $1,522, which increased to $1,682 by 2022, a 10.5% increase over nine years. The growing renter population, coupled with rising rent prices, indicates a strong demand for rental properties in the area, possibly driven by those priced out of the homeownership market.
Looking at more recent data, the average home price in zip code 32258 continued to rise, reaching $384,563 in 2023 and $387,859 in 2024. This represents a slowing rate of appreciation compared to previous years, possibly influenced by the sharp increase in federal interest rates to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may be tempering home price growth and could potentially impact future homeownership rates in the area.
Applying predictive models to forecast 5-year trends, we can anticipate continued growth in both average home and rent prices, albeit at a more moderate pace. Home prices are expected to increase by approximately 3-5% annually, potentially reaching around $450,000 by 2029. Average rent prices are projected to rise by 2-3% per year, potentially reaching $1,900 by 2029. These predictions take into account the current economic conditions, interest rate environment, and historical trends in the area.
In summary, zip code 32258 in Jacksonville, Florida, has demonstrated robust growth in population and housing values over the past decade. The area has seen a gradual shift towards a higher proportion of renters, likely due to rising home prices. Despite recent increases in interest rates, home values continue to appreciate, albeit at a slower rate. The rental market remains strong, with steady increases in both the renter population and average rent prices. These trends suggest that zip code 32258 remains an attractive area for both homeowners and renters, with continued growth expected in the coming years.
