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Zip Code 34135: Rising Home Values and Ownership Trends in Bonita Springs, 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 34135, located in Bonita Springs, Florida, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area has shown a general trend of increasing homeownership and rising property values, making it an interesting case study for real estate market dynamics.
The homeownership rate in zip code 34135 has shown a notable increase from 2013 to 2022. In 2013, the homeownership rate was 75%, and it rose to 78% by 2022. This upward trend coincided with a substantial increase in average home prices. In 2013, the average home price was $216,916, and by 2022, it had more than doubled to $486,962. This strong positive correlation between homeownership rates and average home prices suggests that rising property values may have incentivized more residents to invest in homeownership.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 34135. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), the homeownership rate increased from 75% to 77%. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. However, even as interest rates began to rise from 2017 onwards, the homeownership rate in this zip code continued to increase, reaching 80% in 2020, suggesting other factors were also influencing the market.
The renter percentage in zip code 34135 has inversely mirrored the homeownership trend, decreasing from 24% in 2013 to 22% in 2022. Interestingly, despite this decrease in the renter population, average rent prices have shown a steady increase. In 2013, the average rent was $1,307, and by 2022, it had risen to $1,511, an increase of about 15.6%. This trend suggests that even with a smaller pool of renters, demand for rental properties remained strong, possibly due to factors such as population growth or changes in housing preferences.
Looking at the most recent data, the average home price in zip code 34135 for 2023 was $518,827, and in 2024 it slightly increased to $519,107. This represents a significant slowdown in price growth compared to previous years, possibly influenced by the sharp increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may be tempering home price appreciation and could potentially impact homeownership rates in the near future.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 34135 will continue to rise, but at a more moderate pace than seen in the past decade. The rate of increase is likely to be influenced by factors such as interest rates, local economic conditions, and demographic shifts. Average rent prices are expected to follow a similar trajectory, with continued increases driven by demand for housing in the area.
In summary, zip code 34135 has demonstrated a strong trend towards increased homeownership and rising property values over the past decade. The area has seen substantial growth in average home prices, coupled with a steady increase in average rent prices, despite a decreasing percentage of renters. Recent data suggests a potential slowdown in price appreciation, likely influenced by rising interest rates. These trends highlight the dynamic nature of the local real estate market and its responsiveness to both local and national economic factors.
