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Zip Code 73128: Average Home Values and Ownership in a Transforming Oklahoma City Neighborhood
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 73128, located in Oklahoma City, Oklahoma, has experienced significant demographic and real estate changes over the past decade. This area has seen a notable shift in homeownership rates and fluctuations in both average home prices and average rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 73128 has shown a declining trend, particularly in recent years. In 2013, the area boasted a high 81% homeownership rate. However, by 2022, this figure had dropped to 62%, representing a substantial 19 percentage point decrease over nine years. This decline in homeownership coincided with a general upward trend in average home prices. In 2013, the average home price was $156,214, which steadily increased to $230,936 by 2022, marking a 47.8% increase over this period.
The relationship between federal interest rates and homeownership rates in this zip code presents an interesting dynamic. From 2013 to 2020, when interest rates were generally low (ranging from 0.09% to 2.16%), homeownership rates remained relatively stable, hovering around 80%. However, as interest rates began to rise more significantly in 2022 (1.68%), homeownership rates saw a sharp decline to 62%. This suggests that while low interest rates may have initially supported homeownership, other factors began to exert a stronger influence on the market in recent years.
Conversely, the renter population in zip code 73128 has been on the rise. The percentage of renters increased from 19% in 2013 to 38% in 2022, nearly doubling over this period. This trend has been accompanied by fluctuations in average rent prices. The average rent peaked at $1,266 in 2015, then experienced some volatility before settling at $1,076 in 2022. It's worth noting that despite the increasing renter population, average rent prices have not shown a consistent upward trend, possibly due to increased housing supply or other local market factors.
Looking at the most recent data, the average home price in zip code 73128 continued its upward trajectory, reaching $249,130 in 2023 and further increasing to $253,357 in 2024. This represents a 9.7% increase from 2022 to 2024. Simultaneously, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and market dynamics.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 73128 will continue to rise, albeit at a potentially slower rate due to higher interest rates. Projections suggest that by 2029, average home prices could reach approximately $290,000 to $310,000, representing a 14-22% increase from 2024 levels. Average rent prices are expected to follow a similar upward trend, potentially reaching $1,300 to $1,400 per month by 2029, reflecting a 20-30% increase from 2022 levels.
In summary, zip code 73128 has experienced a significant shift from homeownership to renting over the past decade, accompanied by substantial increases in average home prices. The area has shown resilience in its real estate market, with continued price appreciation despite changing ownership dynamics. The interplay between rising interest rates, increasing home prices, and shifting demographics will likely continue to shape the housing landscape in this Oklahoma City neighborhood in the coming years.
