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Zip Code 35046: Rising Home Values and Stable Ownership in Alabama's Peach Capital
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 35046, located in Clanton, Alabama, has experienced notable fluctuations in homeownership rates and housing prices over the past decade. This area has shown resilience in maintaining a high percentage of owner-occupied homes, while average home prices and rent have followed interesting trajectories.
The homeownership rate in zip code 35046 has remained relatively stable, with some fluctuations. In 2013, the ownership rate was 77%, which increased to 83% by 2020. This upward trend in homeownership coincided with a steady increase in average home prices. The average home price in 2013 was $148,072, which rose to $187,127 by 2020, representing a 26.4% increase over seven years. This positive correlation suggests that rising home values did not significantly deter homeownership in the area.
Federal interest rates appear to have influenced homeownership trends in this zip code. From 2013 to 2020, interest rates remained relatively low, ranging from 0.09% to 2.16%. This period of low interest rates corresponded with the increase in homeownership from 77% to 83%. The accessibility of affordable financing likely contributed to the area's high rate of homeownership during this time.
Renter percentages in zip code 35046 have shown an inverse relationship to homeownership rates. In 2013, the renter-occupied rate was 20%, which decreased to 15% by 2018. However, there was a slight increase to 17% by 2020. Average rent prices have fluctuated over this period. In 2013, the average rent was $865, which decreased to $689 by 2020, representing a 20.3% decrease. This decline in average rent occurred despite the area's population remaining relatively stable, suggesting that other factors, such as local economic conditions or housing supply, may have influenced rental prices.
In 2023 and 2024, the housing market in zip code 35046 continued to evolve. The average home price reached $246,649 in 2023 and further increased to $249,927 in 2024. This represents a significant 33.6% increase from the 2020 average price of $187,127. Notably, federal interest rates also rose substantially during this period, reaching 5.02% in 2023 and 5.33% in 2024, marking a significant shift from the low-interest environment of previous years.
Looking ahead, based on historical trends and current market conditions, we can project potential scenarios for the next five years. Average home prices in zip code 35046 may continue to appreciate, albeit at a more moderate pace due to higher interest rates. We might expect average home prices to reach around $275,000 to $300,000 by 2029. Rent prices, which have been more volatile, could stabilize or see modest increases, potentially reaching an average of $900 to $950 per month by 2029.
In summary, zip code 35046 has maintained a strong homeownership base despite fluctuations in housing prices and interest rates. The area has seen significant appreciation in home values, particularly in recent years, while rental prices have shown more variability. The interplay between homeownership rates, housing prices, and interest rates reflects the dynamic nature of this local real estate market, with recent trends suggesting a period of continued growth and adaptation to changing economic conditions.
