Loading Content...
Zip Code 32828: Rising Home Values and Stable Ownership in Alafaya, Florida
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 32828, located in Alafaya, Florida, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area has seen a steady population growth, which has influenced the local real estate market dynamics. The ownership percentage in zip code 32828 has shown fluctuations over the years, with a notable increase in recent times. In 2013, the homeownership rate was 58%, which declined slightly to 55% in 2016. However, there has been a marked recovery since then, with the ownership rate reaching 62% in 2022. This upward trend in homeownership coincides with a substantial increase in average home prices. The average home price in 2013 was $197,797, which rose steadily to $250,394 in 2016, and then surged dramatically to $450,588 in 2022, representing a 128% increase over this period.
Federal interest rates have played a significant role in shaping homeownership trends in the area. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), there was a slight dip in homeownership. However, the sharp drop in interest rates in 2020 (0.38%) and 2021 (0.08%) coincided with a significant increase in homeownership rates from 56% in 2019 to 62% in 2021, demonstrating the inverse relationship between interest rates and homeownership.
Renter percentages in zip code 32828 have shown a complementary trend to homeownership rates. In 2013, the renter percentage was 34%, which increased to 37% in 2016 as homeownership declined. However, by 2022, the renter percentage had decreased to 38%, reflecting the rise in homeownership. Average rent prices have generally increased over this period, from $1,520 in 2013 to $1,653 in 2022, representing an 8.75% increase. The population growth from 59,217 in 2013 to 67,772 in 2022 likely contributed to the upward pressure on both home prices and rents.
In 2023 and 2024, the real estate market in zip code 32828 continued to evolve. The average home price in 2023 reached $471,899, a 4.73% increase from 2022. In 2024, it further rose to $486,715, representing a 3.14% increase from 2023. Notably, federal interest rates also increased significantly during this period, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and market dynamics.
Looking ahead, based on the historical trends and current market conditions, we can project potential 5-year trends for average home and rent prices in zip code 32828. Average home prices are likely to continue their upward trajectory, albeit at a potentially slower pace due to higher interest rates. We might expect average home prices to reach around $550,000 to $600,000 by 2029. Average rent prices are also expected to increase, potentially reaching $1,900 to $2,100 per month in the same timeframe, driven by population growth and housing demand.
In summary, zip code 32828 has experienced significant growth in both homeownership rates and average home prices, particularly in recent years. The interplay between federal interest rates, population growth, and local market conditions has shaped these trends. While homeownership has increased, rent prices have also risen, reflecting the overall demand for housing in the area. The coming years are likely to see continued growth in both home values and rent prices, though the pace may be moderated by higher interest rates and other economic factors.
