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Zip Code 75234: Rising Home Values and Shifting Ownership Trends in Farmers Branch, Texas
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 75234, located in Farmers Branch, Texas, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area has shown a dynamic real estate market with notable trends in both ownership and rental sectors.
The homeownership rate in zip code 75234 has fluctuated over the years, showing a general decline from 69% in 2013 to 65% in 2022. This shift coincides with a substantial increase in average home prices. In 2013, the average home price was $134,149, which rose dramatically to $352,319 by 2022, representing a 162.6% increase over nine years. This inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less accessible for some residents.
Federal interest rates have played a role in shaping homeownership trends in this area. For instance, the period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.4%. During this time, homeownership rates remained relatively stable at around 65-69%. However, as interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), we observed a slight decrease in homeownership rates, dropping to 66% by 2019.
Renter percentages in zip code 75234 have shown an overall increase, moving from 31% in 2013 to 35% in 2022. This trend aligns with the rise in average rent prices, which increased from $1,225 in 2013 to $1,427 in 2022, a 16.5% increase. The population growth in the area, from 28,608 in 2013 to 30,749 in 2022, may have contributed to the increased demand for rental properties, supporting both higher renter percentages and average rent prices.
Looking at the most recent data, the average home price in zip code 75234 reached $360,333 in 2023 and further increased to $368,635 in 2024. This represents a continued upward trend in property values. Simultaneously, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership rates and property demand.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 75234 will continue to rise, potentially reaching around $450,000 by 2029. This projection is based on the consistent upward trend observed over the past decade. For average rent prices, we expect a more moderate increase, potentially reaching approximately $1,600 by 2029, considering the historical growth rate and local market conditions.
In summary, zip code 75234 has demonstrated a clear trend of increasing property values and rental prices, coupled with a slight shift towards a higher percentage of renters. The interplay between federal interest rates, population growth, and housing affordability has shaped these trends. As the area continues to evolve, it will be crucial to monitor how these factors influence the local real estate market and community composition in the coming years.
