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Zip Code 95207: Stockton's Housing Market Sees Soaring Home Values Amid Stable Ownership Rates
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 95207, located in Stockton, California, has experienced notable shifts in its housing market over the past decade. This area has seen fluctuations in homeownership rates, alongside significant changes in average home prices and average rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 95207 has remained relatively stable, with slight fluctuations between 38% and 40% from 2013 to 2022. Despite this stability, average home prices have shown a substantial upward trend. In 2013, the average home price was $143,652, which steadily increased to $422,403 by 2022, representing a remarkable 194% increase over this period. This significant rise in home prices, however, did not correspond with a notable change in homeownership rates, suggesting that other factors were influencing homeownership decisions in the area.
Federal interest rates have played a role in shaping homeownership trends. From 2013 to 2016, when interest rates were at historic lows (ranging from 0.11% to 0.40%), homeownership rates in the zip code remained relatively stable around 39%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), there was a slight dip in homeownership to 38% in 2018, but it recovered to 39% by 2019. The dramatic drop in interest rates in 2020 (0.38%) and 2021 (0.08%) coincided with a small increase in homeownership to 40% in 2020, aligning with the general trend of lower interest rates encouraging homeownership.
Renter occupancy in zip code 95207 has remained the dominant housing status, consistently ranging between 60% and 62% from 2013 to 2022. Average rent prices have shown a general upward trend, albeit with some fluctuations. In 2013, the average rent was $1,092, which increased to $1,255 by 2022, representing a 15% increase over this period. This rise in rent prices occurred alongside a population increase from 47,653 in 2013 to 52,830 in 2022, potentially indicating growing demand for rental properties in the area.
Looking at the most recent data, the average home price in zip code 95207 decreased slightly from $422,403 in 2022 to $412,823 in 2023, representing a 2.3% decline. However, in 2024, the average home price rebounded to $422,176, nearly matching the 2022 level. This recent trend coincides with a significant increase in federal interest rates, which rose from 1.68% in 2022 to 5.02% in 2023 and further to 5.33% in 2024, potentially impacting home buying decisions.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 95207 will continue to rise, albeit at a more moderate pace compared to the rapid growth seen in the early 2020s. Average rent prices are also expected to increase, driven by population growth and ongoing demand for rental properties in the area. However, the rate of increase may be tempered by economic factors and potential new housing developments.
In summary, zip code 95207 has experienced significant growth in both average home prices and average rent prices over the past decade, with homeownership rates remaining relatively stable. The area has shown resilience in its housing market, with recent data indicating a recovery in home prices after a slight dip. The interplay between federal interest rates, population growth, and local market conditions will likely continue to shape the housing landscape in this Stockton neighborhood in the coming years.
