Loading Content...
Zip Code 90057: High Rental Density and Rapidly Changing Home Values in Los Angeles
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 90057, located in Los Angeles, California, presents a unique urban landscape characterized by a high density of renters and rapidly changing real estate dynamics. This area has experienced significant fluctuations in population density and housing prices over the past decade, with a notable trend towards increased rental occupancy and rising housing costs.
The homeownership rate in zip code 90057 has remained consistently low, hovering between 3% and 4% from 2013 to 2022. This extremely low rate of homeownership coincides with a dramatic increase in average home prices. In 2013, the average home price was $242,300, which more than doubled to $592,123 by 2022, representing a 144% increase over nine years. This inverse relationship between homeownership rates and average home prices suggests that rising property values have made homeownership increasingly unattainable for residents in this area.
Federal interest rates have played a role in shaping homeownership trends in zip code 90057. Despite historically low interest rates between 2010 and 2021, ranging from 0.08% to 2.16%, the area did not see a significant increase in homeownership. This suggests that other factors, such as high property values and local economic conditions, may have a stronger influence on homeownership rates in this particular zip code than national interest rate trends.
The rental market in zip code 90057 has shown a strong upward trajectory. The percentage of renters has remained consistently high, ranging from 96% to 97% between 2013 and 2022. During this period, average rent prices increased substantially, rising from $831 in 2013 to $1,362 in 2022, a 64% increase. This trend aligns with the growing population in the area, which increased from 43,125 in 2013 to 45,279 in 2022, potentially driving up demand for rental properties.
Looking at the most recent data, the average home price in zip code 90057 slightly decreased to $585,734 in 2023 and further declined to $573,942 in 2024. This represents a 3.1% decrease from the 2022 peak. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, which may have contributed to the cooling of home prices.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 90057 may experience a period of stabilization or modest growth, given the recent price corrections and higher interest rates. Average rent prices are expected to continue their upward trajectory, albeit at a potentially slower pace, driven by the persistent high demand for rental properties in the area.
In summary, zip code 90057 demonstrates a housing market dominated by renters, with consistently low homeownership rates despite significant increases in property values. The area has seen substantial growth in both average home prices and rent costs over the past decade, reflecting strong demand and changing urban dynamics. Recent data suggests a potential cooling in the housing market, while the rental market remains robust. These trends underscore the evolving nature of this Los Angeles neighborhood and its position within the broader urban housing landscape.
