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Zip Code 92313: Rising Home Values and Ownership Trends in Grand Terrace, 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
Grand Terrace, located in zip code 92313 in California, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area, known for its scenic views and suburban charm, has seen a general trend towards increased homeownership and rising property values.
The homeownership rate in zip code 92313 has shown a gradual increase from 2013 to 2022. In 2013, 59% of residences were owner-occupied, and by 2022, this figure had risen to 63%. This upward trend in homeownership coincided with a significant increase in average home prices. In 2013, the average home price was $230,592, and by 2022, it had more than doubled to $542,574. This substantial appreciation in home values likely contributed to the growing appeal of homeownership in the area.
Federal interest rates have played a role in shaping homeownership trends in Grand Terrace. From 2013 to 2016, interest rates remained relatively low, hovering around 0.1% to 0.4%. During this period, homeownership rates fluctuated slightly but remained relatively stable. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), there was a slight dip in homeownership to 58% in 2017, but it rebounded to 60% by 2018. The dramatic drop in interest rates in 2020 and 2021 (to 0.38% and 0.08% respectively) coincided with an increase in homeownership rates to 61% and 62%, likely due to more affordable financing options.
Renter percentages in zip code 92313 have generally decreased as homeownership increased. In 2013, 41% of residences were renter-occupied, and this percentage decreased to 37% by 2022. Despite this decrease in the renter population, average rent prices have shown an overall upward trend. In 2013, the average rent was $1,461, and it increased to $1,499 by 2022, with some fluctuations in between. The highest average rent was recorded in 2021 at $1,682, possibly due to increased demand as the population grew from 12,279 in 2020 to 12,754 in 2021.
In 2023 and 2024, average home prices in zip code 92313 continued to rise, reaching $544,154 in 2023 and $571,422 in 2024. This represents a 5% increase from 2023 to 2024. Concurrently, federal interest rates increased significantly, rising to 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership trends in the area.
Looking ahead, based on historical trends and current market conditions, we can expect average home prices in zip code 92313 to continue their upward trajectory over the next five years. Assuming a conservative annual growth rate of 4%, average home prices could reach approximately $695,000 by 2029. For rent prices, if we consider the average annual increase of about 1.5% observed in recent years, we might see average rents climb to around $1,615 by 2029.
In summary, Grand Terrace in zip code 92313 has experienced a trend towards increased homeownership and rising property values over the past decade. The interplay between federal interest rates, home prices, and rent costs has shaped the housing market dynamics in this area. While homeownership has become more prevalent, the steady increase in both home prices and rents suggests a competitive and evolving real estate market in this California suburb.
