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Zip Code 93501: Mojave's Vast Area Sees Rising Home Values Amidst Declining Ownership
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 93501, located in Mojave, California, is a vast area spanning 367.34 square miles. This expansive region has experienced significant fluctuations in homeownership rates and housing prices over the past decade. The area has seen a general trend of decreasing homeownership, coupled with a substantial increase in average home prices and varying average rent prices.
The homeownership rate in zip code 93501 has shown a notable decline from 2013 to 2022. In 2013, 59% of housing units were owner-occupied. This percentage dropped to its lowest point of 41% in 2018 before rebounding slightly to 51% in 2022. Conversely, average home prices have experienced a dramatic increase during this period. In 2013, the average home price was $55,299, which rose steadily to reach $210,265 by 2022, representing a remarkable 280% increase over nine years.
Federal interest rates have played a significant role in shaping homeownership trends. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), homeownership rates paradoxically declined from 59% to 45%. This suggests that other local factors were outweighing the potential benefits of low interest rates. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates stabilized and even showed a slight increase, reaching 44% in 2019 and 51% by 2022.
Renter percentages have generally mirrored the inverse of homeownership rates, increasing from 40% in 2013 to a peak of 59% in 2018, before settling at 49% in 2022. Average rent prices have shown volatility during this period. In 2013, the average rent was $868, which increased to $931 in 2016, then fluctuated before reaching $990 in 2021, the highest point in the dataset. Interestingly, in 2022, despite a slight decrease in the renter percentage, the average rent dropped to $808, its lowest point since 2013.
In 2023, the average home price in zip code 93501 continued its upward trajectory, reaching $217,303, a 3.3% increase from 2022. This growth persisted into 2024, with the average home price rising to $223,979, marking a further 3.1% increase. Notably, federal interest rates also saw a significant jump, rising from 5.02% in 2023 to 5.33% in 2024, potentially impacting future homeownership trends and housing affordability in the area.
Looking ahead, predictive models suggest that average home prices in zip code 93501 will continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are expected to stabilize and potentially increase moderately, influenced by the area's population dynamics and the balance between homeownership and renting trends.
In summary, zip code 93501 has experienced a significant shift in its housing landscape over the past decade. The area has seen a general trend of decreasing homeownership rates, countered by a substantial increase in average home prices. Rent prices have shown volatility, with recent trends indicating a potential stabilization. The interplay between federal interest rates, local economic factors, and housing market dynamics will continue to shape the future of homeownership and rental markets in this Mojave region.
