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Zip Code 91340: Rising Home Values and Resilient Ownership in San Fernando, California
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 91340, located in San Fernando, California, showcases a dynamic real estate landscape with notable shifts in homeownership rates and property values over the past decade. This area has experienced significant changes in its housing market, characterized by fluctuating ownership percentages and substantial increases in both average home prices and average rent prices.
The relationship between homeownership rates and average home prices in zip code 91340 reveals an interesting trend. In 2013, the homeownership rate was 57%, with an average home price of $270,481. As average home prices steadily increased, reaching $492,551 by 2019, the homeownership rate slightly decreased to 55%. However, a notable shift occurred in 2020, with homeownership rising to 60% despite the average home price climbing to $530,220. This trend continued into 2022, with homeownership further increasing to 63% while average home prices surged to $692,669.
Federal interest rates appear to have influenced homeownership rates in this zip code. From 2013 to 2019, interest rates gradually increased from 0.11% to 2.16%, coinciding with a slight decline in homeownership. However, the sharp drop in interest rates to 0.38% in 2020 aligns with the significant increase in homeownership from 55% to 60%. This trend continued into 2022, with homeownership reaching 63% while interest rates remained relatively low at 1.68%.
Renter percentages and average rent prices in zip code 91340 have also shown notable trends. In 2013, 43% of residents were renters, with an average rent of $1,461. As the renter percentage fluctuated between 42% and 46% from 2014 to 2019, average rent prices steadily increased, reaching $1,613 by 2019. Interestingly, despite a decrease in the renter percentage to 37% in 2022, the average rent continued to rise, reaching $1,651. This suggests that while fewer people were renting, those who did faced higher rental costs.
The current year, 2024, presents a continuation of rising property values in zip code 91340. The average home price has increased to $731,719, up from $695,511 in 2023. This represents a 5.2% increase in just one year. Concurrently, federal interest rates have risen to 5.33% in 2024 from 5.02% in 2023, potentially impacting homebuying decisions in the area.
Looking ahead, predictive models suggest a continued upward trend in both average home prices and average rent prices for zip code 91340 over the next five years. Average home prices are projected to surpass $800,000 by 2027, potentially reaching close to $900,000 by 2029. Average rent prices are expected to follow a similar trajectory, potentially exceeding $1,800 per month by 2027 and approaching $2,000 by 2029.
In summary, zip code 91340 has experienced significant growth in property values over the past decade, with average home prices nearly tripling from 2013 to 2024. Despite rising home prices, homeownership rates have increased in recent years, possibly influenced by periods of lower interest rates. The rental market has also seen steady increases in average rent prices, even as the proportion of renters has decreased. These trends suggest a robust and dynamic real estate market in this San Fernando zip code, with continued growth expected in the coming years.
