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Zip Code 93722: Rising Home Values and Stable Ownership in Fresno's Dynamic Housing Market
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 93722, located in Fresno, California, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area has seen a gradual shift in the balance between owners and renters, coupled with notable fluctuations in property values and rental costs.
The homeownership rate in zip code 93722 has shown a slight overall increase from 57% in 2016 to 61% in 2022. This upward trend in homeownership coincides with a substantial rise in average home prices. In 2016, the average home price was $211,496, which steadily climbed to $380,183 by 2022, representing an impressive 79.8% increase over six years. This correlation suggests that despite rising home prices, more residents were able to enter the housing market, possibly due to factors such as income growth or favorable lending conditions.
Federal interest rates have played a significant role in shaping homeownership trends. For instance, the period from 2016 to 2022 saw relatively low interest rates, ranging from 0.4% to 1.68%. These lower rates likely contributed to the increase in homeownership by making mortgages more affordable. The rise in homeownership from 57% in 2016 to 61% in 2022 aligns with this period of favorable borrowing conditions.
Conversely, the percentage of renters in zip code 93722 decreased slightly from 43% in 2016 to 39% in 2022. Despite this decrease, average rent prices showed an upward trend. The average rent increased from $1,376 in 2016 to $1,409 in 2022, a modest 2.4% rise. This relatively small increase in rent prices, compared to the significant jump in home prices, might have contributed to the shift towards homeownership. The population growth from 81,014 in 2016 to 84,884 in 2022 likely maintained demand for rental properties, preventing a more substantial drop in rental rates despite the decreasing percentage of renters.
In 2023 and 2024, the housing market in zip code 93722 showed interesting developments. The average home price slightly decreased from $380,183 in 2022 to $378,369 in 2023, marking a minor 0.5% decline. However, in 2024, prices rebounded to $391,965, representing a 3.6% increase from 2023. This recent uptick occurred despite a significant rise in federal interest rates, which jumped from 1.68% in 2022 to 5.02% in 2023 and further to 5.33% in 2024. These higher interest rates would typically dampen home buying activity, yet the market in this zip code has shown resilience.
Looking ahead, predictive models suggest that average home prices in zip code 93722 may continue to rise over the next five years, albeit at a more moderate pace due to the current high interest rate environment. Average rent prices are also expected to increase, driven by ongoing population growth and potential shifts back to renting if high interest rates persist, making homeownership less affordable for some.
In summary, zip code 93722 has demonstrated a trend towards increased homeownership despite rising home prices, possibly fueled by previously low interest rates. The rental market has seen modest price increases while the proportion of renters has decreased. Recent data shows resilience in the housing market even in the face of rising interest rates, suggesting a strong local demand for housing. These trends indicate a dynamic and evolving real estate market in this Fresno zip code.
