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Zip Code 34475: Rising Home Values and Shifting Ownership in Ocala's Equestrian Hub
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 34475, located in Ocala, Florida, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area, known for its equestrian heritage and natural springs, has seen a general trend of decreasing homeownership and increasing average home and rent prices.
The homeownership rate in zip code 34475 has shown a overall decline from 2013 to 2022. In 2013, 55% of housing units were owner-occupied, but by 2022, this figure had dropped to 48%. This decrease coincided with a significant increase in average home prices. In 2013, the average home price was $60,708, which rose steadily to reach $183,990 by 2022, representing a substantial 203% increase over this period. This inverse relationship suggests that rising home prices may have made homeownership less accessible for many residents in the area.
Federal interest rates have played a role in homeownership trends. From 2013 to 2016, interest rates remained relatively low (between 0.09% and 0.40%), which coincided with homeownership rates ranging from 50% to 56%. However, as interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates declined, reaching 48% by 2019. Interestingly, despite historically low interest rates in 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates did not rebound significantly, likely due to other economic factors and rapidly increasing home prices.
The renter population in zip code 34475 has shown a corresponding increase as homeownership rates declined. In 2013, 45% of housing units were renter-occupied, rising to 52% by 2022. Average rent prices have fluctuated over this period but show an overall upward trend. In 2013, the average rent was $724, which increased to $765 by 2021, before slightly decreasing to $747 in 2022. The population in the zip code has remained relatively stable, fluctuating between 13,245 and 14,163 residents over the past decade, suggesting that changes in renter percentages are more likely due to shifts from ownership to renting rather than significant population changes.
In 2023, the average home price in zip code 34475 continued its upward trajectory, reaching $197,886, a 7.6% increase from 2022. This trend persisted into 2024, with average home prices rising further to $203,816. Notably, federal interest rates also increased significantly during this period, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates, combined with elevated home prices, may further impact homeownership accessibility in the area.
Looking ahead, based on the observed trends, we can predict that average home prices in zip code 34475 will likely continue to rise over the next five years, potentially reaching around $240,000 to $250,000 by 2029. Average rent prices may also continue their upward trend, potentially increasing to approximately $800-$850 per month in the same timeframe. However, these projections assume a continuation of current economic conditions and housing market trends.
In summary, zip code 34475 has experienced a shift towards a renter-majority population, driven by rising home prices and fluctuating interest rates. The substantial increase in average home prices, combined with recent spikes in interest rates, suggests that affordability may continue to be a challenge for potential homebuyers in this area. These trends highlight the dynamic nature of the local housing market and its sensitivity to broader economic factors.
