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Zip Code 32812: Rising Home Values and Ownership Trends in Orlando's Dynamic Real Estate Market
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 32812, located in Orlando, Florida, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area has seen a notable shift towards increased homeownership in recent years, coupled with substantial growth in average home values.
The homeownership rate in zip code 32812 has shown an upward trend, particularly from 2020 onwards. In 2013, the homeownership rate stood at 52%, which remained relatively stable until 2019. However, there was a marked increase starting in 2020, with the rate rising to 56% and further climbing to 58% by 2022. This increase in homeownership coincided with a substantial rise in average home prices. In 2013, the average home price was $141,092, which steadily increased to $247,848 by 2019. The subsequent years saw even more dramatic growth, with average home prices reaching $361,196 in 2022, representing a 156% increase from 2013 to 2022.
The trend in homeownership rates appears to have been influenced by federal interest rates. From 2013 to 2019, when interest rates were relatively low (ranging from 0.09% to 2.16%), homeownership rates remained stable. The significant drop in interest rates in 2020 to 0.38% and further to 0.08% in 2021 coincided with the increase in homeownership rates to 56%. This correlation suggests that lower interest rates may have made home purchases more affordable, encouraging higher rates of homeownership.
Conversely, the percentage of renters in zip code 32812 has decreased over time. In 2013, the renter-occupied rate was 47%, which increased slightly to 49% in 2016 and 2017. However, from 2020 onwards, there was a noticeable decline, with the renter percentage dropping to 44% in 2021 and further to 42% in 2022. Despite this decrease in the renter population, average rent prices have generally trended upward. The average rent price rose from $1,133 in 2013 to $1,249 in 2021, representing a 10.2% increase over this period. Interestingly, there was a slight decrease to $1,199 in 2022, possibly reflecting the shift towards homeownership.
In 2023 and 2024, the upward trend in average home prices continued, reaching $381,295 in 2023 and $398,567 in 2024. This represents a further 10.3% increase from 2022 to 2024. Notably, federal interest rates also rose significantly during this period, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership trends.
Looking ahead, based on the historical data and current trends, we can predict continued growth in average home prices for zip code 32812 over the next five years, albeit potentially at a slower rate due to higher interest rates. Average home prices could potentially reach around $450,000 to $500,000 by 2029. Average rent prices are also likely to continue their upward trajectory, possibly reaching $1,400 to $1,500 per month by 2029, assuming the current economic conditions and housing market dynamics persist.
In summary, zip code 32812 has experienced a notable shift towards increased homeownership, accompanied by substantial growth in average home values. The area has seen a corresponding decrease in the renter population, despite generally rising average rent prices. These trends have been influenced by fluctuations in federal interest rates and broader economic factors. The coming years are likely to see continued growth in both home values and rent prices, though the rate of increase may be moderated by rising interest rates.
