Loading Content...
Zip Code 36322: Rising Home Values and Stable Ownership in Daleville, Alabama
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 36322, located in Daleville, Alabama, presents an interesting case study of homeownership and rental trends over the past decade. This area has experienced fluctuations in both ownership percentages and housing prices, reflecting broader economic shifts and local market dynamics.
The homeownership rate in zip code 36322 has shown a general upward trend, increasing from 57% in 2013 to 62% in 2022. This growth in homeownership coincides with a significant rise in average home prices, which increased from $93,833 in 2013 to $132,860 in 2022, representing a 41.6% increase over nine years. The relationship between homeownership rates and average home prices appears to be positively correlated, suggesting that rising property values have not deterred homeownership in this area.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 36322. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.40%, which likely contributed to the initial increase in homeownership from 57% to 58%. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, the homeownership rate continued to climb, reaching 62% by 2022. This trend suggests that other factors, such as local economic conditions or housing supply, may have had a stronger influence on homeownership rates than interest rates alone in this particular zip code.
Renter percentages in zip code 36322 have inversely mirrored the homeownership trend, decreasing from 43% in 2013 to 38% in 2022. Interestingly, average rent prices have shown volatility during this period. In 2013, the average rent was $793, which dropped to $673 in 2015 before rising again to $825 in 2018. By 2022, the average rent had settled at $720, slightly lower than the 2013 level. This fluctuation in rent prices, combined with the decreasing percentage of renters, suggests a complex rental market influenced by factors such as housing supply, local economic conditions, and possibly the conversion of rental properties to owner-occupied homes.
In 2023 and 2024, zip code 36322 experienced a continued surge in average home prices, reaching $142,935 in 2023 and $149,726 in 2024. This represents a substantial increase of 12.7% from 2022 to 2024. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, marking a notable shift in the lending environment that could impact future homeownership trends.
Looking ahead, predictive models suggest that average home prices in zip code 36322 may continue to rise over the next five years, potentially reaching around $170,000 by 2029 if current trends persist. Rent prices, which have shown more stability in recent years, are projected to increase moderately, possibly reaching an average of $780-$800 per month by 2029. However, these projections are subject to various economic factors and local market conditions.
In summary, zip code 36322 has demonstrated a resilient housing market with increasing homeownership rates despite rising home prices. The interplay between federal interest rates, local economic factors, and housing demand has created a dynamic environment where both homeownership and property values have grown. The rental market, while showing some price volatility, has maintained relative stability in recent years. As the area moves forward, the balance between homeownership and renting will likely continue to evolve, influenced by broader economic trends and local market forces.
