Renter percentages in zip code 37206 have slightly decreased from 51% in 2013 to 47% in 2022. During this same period, average rent prices saw a significant increase. In 2013, the average rent was $941, which rose to $1,251 by 2022, representing a 33% increase. This upward trend in rent prices occurred alongside population growth, with the number of residents increasing from 23,570 in 2013 to 26,762 in 2022, potentially contributing to the demand for rental properties.

In 2023 and 2024, the housing market in zip code 37206 continued to evolve. The average home price reached $601,023 in 2023 and further increased to $616,858 in 2024. This represents a modest growth of 2.6% from 2022 to 2023 and 4.2% from 2023 to 2024, indicating a slowdown in the rapid price appreciation seen in previous years. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, which may have influenced the housing market dynamics.

Looking ahead, predictive models suggest that the average home prices in zip code 37206 may continue to rise, but at a more moderate pace. Based on historical trends and current market conditions, we can project that average home prices could reach approximately $670,000 to $700,000 by 2029. Average rent prices are also expected to increase, potentially reaching $1,500 to $1,600 per month within the next five years, assuming consistent economic growth and demand in the area.

In summary, zip code 37206 has witnessed a significant transformation in its housing market. The area has experienced a steady increase in homeownership rates, substantial growth in average home prices, and rising average rent prices. The recent slowdown in home price appreciation, coupled with higher interest rates, suggests a potential stabilization of the market. However, the continued population growth and the area's attractiveness may sustain upward pressure on both home prices and rents in the coming years.