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Zip Code 33598: Surging Home Values and Ownership in Wimauma, 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 33598, located in Wimauma, Florida, has experienced significant growth and development over the past decade. This area has seen a substantial increase in homeownership rates, accompanied by rising average home prices and average rent prices. The homeownership rate in zip code 33598 has shown a steady upward trend, increasing from 75% in 2013 to 84% in 2022. This rise in homeownership coincides with a notable increase in average home prices. In 2013, the average home price was $180,739, which grew to $383,060 by 2022, representing a 112% increase over nine years. This trend suggests a strong correlation between rising home values and increased homeownership in the area.
Federal interest rates have played a significant role in homeownership trends. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), homeownership remained relatively stable at around 75%. However, as interest rates began to rise in 2017 (1.00%) and continued to increase, homeownership rates also climbed, reaching 84% by 2022 when the interest rate was 1.68%. This trend contradicts the typical expectation that higher interest rates discourage homeownership, suggesting other factors such as local economic growth or demographic shifts may have had a stronger influence in this zip code.
The renter population in zip code 33598 has decreased proportionally as homeownership increased. In 2013, 24% of residents were renters, which decreased to 16% by 2022. Despite this decline in the renter population, average rent prices have risen significantly. The average rent increased from $750 in 2013 to $1,162 in 2022, a 55% increase. This trend indicates a tightening rental market, possibly due to the overall population growth in the area, which expanded from 12,535 in 2013 to 28,431 in 2022.
In 2023 and 2024, the average home prices in zip code 33598 showed signs of stabilization after years of growth. The average home price in 2023 was $385,333, only a slight increase from 2022. In 2024, there was a minor decrease to $384,069. This leveling off coincides with a significant rise in federal interest rates, which jumped to 5.02% in 2023 and 5.33% in 2024, potentially cooling the housing market.
Looking ahead, predictive models suggest a potential slowdown in the rapid growth of both average home prices and rent prices over the next five years. Home prices may experience more modest annual increases of 2-3%, while rent prices could see annual increases of 3-4%. These projections take into account the current high interest rates and the recent stabilization of home prices.
In summary, zip code 33598 has undergone substantial changes in its housing market over the past decade. The area has seen a significant increase in homeownership rates, coupled with substantial growth in both average home prices and rent prices. However, recent data suggests a potential stabilization in the market, likely influenced by rising interest rates. The coming years may see more moderate growth in both the ownership and rental markets compared to the rapid expansion observed in the past decade.
