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Zip Code 92254: North Shore's Average Home Values and Ownership Trends Amidst Housing Market Fluctuations
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 92254, located in North Shore, California, has experienced significant shifts in its housing market over the past decade. This area has seen notable fluctuations in homeownership rates, average home prices, and average rent prices, reflecting the dynamic nature of its real estate landscape.
The ownership percentage in zip code 92254 has shown a remarkable upward trend, particularly in recent years. In 2013, the homeownership rate stood at 60%, but by 2022, it had increased substantially to 73%. This significant rise in homeownership coincided with a steady increase in average home prices. In 2013, the average home price was $80,900, and by 2022, it had more than tripled to $285,006. This trend suggests a strong correlation between rising home values and increasing homeownership rates in the area.
The relationship between federal interest rates and homeownership rates in zip code 92254 appears to follow established patterns. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), homeownership rates fluctuated between 50% and 60%. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership rates in the area actually increased, reaching 73% in 2022. This unusual trend might indicate other local factors influencing homeownership beyond just interest rates.
Renter percentages and average rent prices in zip code 92254 have shown an inverse relationship to homeownership trends. In 2013, renters occupied 33% of housing units, with an average rent of $642. By 2022, the renter percentage had decreased to 27%, while the average rent had increased to $801. This trend suggests that as homeownership became more prevalent, the rental market experienced a slight contraction in terms of occupancy, but saw an increase in rental prices.
In 2023 and 2024, the housing market in zip code 92254 continued its upward trajectory. The average home price reached $301,291 in 2023 and further increased to $315,722 in 2024. This represents a 5.7% increase from 2022 to 2023 and a 4.8% increase from 2023 to 2024. Concurrently, federal interest rates rose significantly, reaching 5.02% in 2023 and 5.33% in 2024, potentially impacting homebuying decisions in the area.
Looking ahead, predictive models suggest that the upward trend in both average home prices and rent prices is likely to continue in zip code 92254 over the next five years. Based on historical data and current market conditions, average home prices could potentially reach around $380,000 by 2029, representing an annual growth rate of approximately 3-4%. Average rent prices might similarly increase, potentially reaching $950-$1,000 per month by 2029, assuming a steady annual increase of 2-3%.
In summary, zip code 92254 has experienced a significant increase in homeownership rates and average home prices over the past decade, with a corresponding decrease in renter percentages. Despite rising interest rates, the area has maintained strong growth in property values. The continued upward trajectory of both home prices and rents suggests a robust and growing real estate market in this California zip code for the foreseeable future.
