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Zip Code 36613: Rising Home Values and Shifting Ownership Patterns in Prichard, Alabama
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 36613, located in Prichard, Alabama, presents an interesting case study of homeownership and housing market trends. This area has experienced fluctuations in both population and housing dynamics over the past decade, with notable shifts in ownership percentages and average home prices. The homeownership rate in zip code 36613 has shown a gradual decline from 2013 to 2022. In 2013, 81% of housing units were owner-occupied, but by 2022, this figure had decreased to 74%. Conversely, the average home prices in the area have demonstrated a steady upward trend. In 2013, the average home price was $77,557, which increased significantly to $139,360 by 2022, representing a substantial 79.7% growth over this period.
The relationship between federal interest rates and homeownership rates in this zip code shows some correlation. For instance, from 2013 to 2016, when interest rates were relatively low (ranging from 0.11% to 0.40%), homeownership rates remained stable at around 81-82%. However, as interest rates began to rise more significantly from 2017 onwards, reaching 1.83% by 2018, we see a gradual decline in homeownership rates, dropping to 80% in 2018 and further to 74% by 2022.
Renter percentages in zip code 36613 have inversely mirrored the homeownership trends, increasing from 19% in 2013 to 26% in 2022. Interestingly, average rent prices have shown some volatility during this period. In 2013, the average rent was $970, which peaked at $1,070 in 2017 before declining to $941 by 2022. This fluctuation in rent prices, coupled with the increasing renter percentage, suggests a complex interplay of factors affecting the rental market in this area.
Looking at the most recent data, the average home price in zip code 36613 reached $140,298 in 2023 and further increased to $142,840 in 2024. This continued upward trend in home prices occurs despite the significant rise in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024. These high interest rates typically make borrowing more expensive, yet home prices in this area continue to appreciate.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 36613 will continue their upward trajectory, albeit at a potentially slower rate due to the current high interest rate environment. We expect average home prices to reach approximately $160,000 to $170,000 by 2029. For rent prices, the forecast suggests a potential stabilization or slight increase, with average rents likely to range between $950 and $1,100 by 2029.
In summary, zip code 36613 has experienced a notable shift from homeownership to renting over the past decade, coinciding with substantial increases in average home prices. Despite rising interest rates, home values continue to appreciate, indicating strong demand in this market. The rental market, while growing in terms of percentage, has shown more volatility in pricing. These trends suggest a changing housing landscape in Prichard, with implications for both current and future residents.
