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Zip Code 85925: Rural Arizona's Rising Home Values and Stable Ownership Rates
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 85925, located in Eagar, Arizona, presents an intriguing case study of housing trends in a small, rural community. This area has experienced fluctuations in homeownership rates and housing prices over the past decade, reflecting broader economic shifts and local dynamics.
The homeownership rate in zip code 85925 has remained relatively high, ranging from 72% to 81% between 2013 and 2022. This trend generally correlates with the changes in average home prices. In 2013, the average home price was $125,106, with a homeownership rate of 79%. As home prices steadily increased, reaching $285,053 in 2022, the homeownership rate slightly decreased to 78%. Despite the significant rise in home prices, the area maintained a strong homeownership culture, possibly due to its rural nature and community characteristics.
Federal interest rates have played a role in homeownership trends in zip code 85925. For instance, in 2013, when interest rates were at a low 0.11%, the homeownership rate was 79%. As interest rates gradually increased to 1.68% by 2022, there was a slight decline in homeownership to 78%. However, the relationship is not always direct, as other local factors likely influence homeownership decisions in this small town.
Renter percentages and average rent prices in zip code 85925 show an inverse relationship to homeownership rates. In 2013, with 21% of residents renting, the average rent was $957. By 2022, the renter percentage slightly increased to 22%, while the average rent decreased to $749. This decrease in average rent, despite a marginal increase in renters, could be attributed to local economic factors or changes in the rental property market.
Looking at the most recent data, in 2023, the average home price in zip code 85925 rose to $289,672, with federal interest rates at 5.02%. In 2024, there's a further increase in average home prices to $297,297, while interest rates have slightly risen to 5.33%. This continued upward trend in both home prices and interest rates suggests a resilient local housing market, despite potentially higher borrowing costs for homebuyers.
Applying predictive models to forecast 5-year trends, we anticipate a continued gradual increase in average home prices in zip code 85925. Based on historical data and current economic indicators, average home prices could potentially reach around $330,000 to $350,000 by 2029. For rent prices, the trend suggests a possible stabilization or slight increase, potentially reaching an average of $800 to $850 per month in the next five years.
In summary, zip code 85925 in Eagar, Arizona, demonstrates a strong homeownership culture that has persisted despite rising home prices. The area has shown resilience in maintaining high homeownership rates even as average home prices more than doubled from 2013 to 2024. The rental market has remained relatively stable, with slight fluctuations in both renter percentages and average rent prices. Moving forward, the housing market in this zip code appears poised for continued growth, with steady increases in home values and potentially stabilizing rent prices.
