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Zip Code 33901: Rising Home Values and Shifting Ownership in Fort Myers, 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 33901, located in Fort Myers, Florida, has experienced significant demographic and housing market changes over the past decade. This area has seen a notable shift in homeownership rates and substantial increases in both average home prices and average rent prices. The ownership percentage in zip code 33901 has shown a declining trend from 2013 to 2022, with some fluctuations. In 2013, the homeownership rate was 49%, which steadily decreased to 40% by 2019. However, there was a slight uptick to 44% in 2022. Concurrently, average home prices have shown a remarkable upward trajectory. In 2013, the average home price was $97,681, which more than doubled to $287,762 by 2022. This inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less accessible for many residents in this area.
Federal interest rates have played a significant role in shaping homeownership trends in zip code 33901. From 2013 to 2016, when interest rates were at historic lows (ranging from 0.11% to 0.40%), the homeownership rate still declined from 49% to 45%. This suggests that other factors, such as rapidly increasing home prices, may have outweighed the potential benefits of low interest rates for prospective homebuyers in this area.
As homeownership rates declined, the percentage of renters in zip code 33901 increased from 51% in 2013 to 56% in 2022. During this period, average rent prices also saw an upward trend, rising from $925 in 2013 to $1,053 in 2022. The population growth in the area, from 17,292 in 2013 to 22,015 in 2022, likely contributed to the increased demand for rental properties and the subsequent rise in rent prices.
In 2023 and 2024, the average home prices in zip code 33901 continued to rise, reaching $301,051 in 2023 and $310,862 in 2024. This represents a 4.6% increase from 2022 to 2023 and a further 3.3% increase from 2023 to 2024. Interestingly, these price increases occurred despite a significant rise in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024.
Looking ahead, based on the historical data and current trends, we can project that average home prices in zip code 33901 may continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are also likely to increase, driven by population growth and the ongoing shift towards renting in the area. However, if interest rates remain high, it could potentially slow down the pace of home price appreciation and might even lead to a stabilization or slight increase in homeownership rates as some renters may find it more financially viable to buy rather than rent.
In summary, zip code 33901 has experienced a significant shift from homeownership to renting, accompanied by substantial increases in both average home prices and average rent prices. The area has shown resilience in its housing market, with prices continuing to rise even in the face of increasing interest rates. These trends reflect the dynamic nature of the local real estate market and the complex interplay between population growth, economic factors, and housing preferences in Fort Myers, Florida.
