Loading Content...
Zip Code 95404: Santa Rosa's Resilient Housing Market with Average Home Values Reaching $833,098
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 95404, located in Santa Rosa, California, is a dynamic area covering 79.91 square miles. This region has experienced notable fluctuations in homeownership rates, average home prices, and average rent prices over the past decade. The zip code has maintained a relatively stable balance between owners and renters, with homeownership rates hovering around 58% in recent years. Average home prices and average rent prices have shown an overall upward trend, albeit with some variations.
The homeownership rate in zip code 95404 has remained relatively stable, fluctuating between 57% and 59% from 2013 to 2022. During this period, average home prices experienced significant growth. In 2013, the average home price was $433,025, which increased to $823,455 by 2022, representing a substantial 90% increase over nine years. This trend suggests that despite rising home prices, the proportion of homeowners in the area has remained relatively constant.
Federal interest rates have played a role in homeownership trends. From 2013 to 2016, when interest rates were extremely low (ranging from 0.09% to 0.40%), homeownership rates in the zip code remained stable at around 57-58%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), homeownership rates actually increased slightly to 59% in 2017 before settling back to 58% in subsequent years. This suggests that other local factors may have influenced homeownership rates more significantly than interest rates alone in this area.
Renter percentages in zip code 95404 have inversely mirrored homeownership rates, ranging from 41% to 43% between 2013 and 2022. Average rent prices have shown a consistent upward trend during this period. In 2013, the average rent was $1,585, which increased to $1,941 by 2022, representing a 22.5% increase over nine years. Notably, there was a significant jump in average rent from $1,860 in 2019 to $2,059 in 2021, possibly influenced by changing housing market conditions and population dynamics. The population in the zip code peaked at 47,551 in 2017 before declining to 43,466 by 2022, which may have impacted rental demand and prices.
In 2023 and 2024, the housing market in zip code 95404 continued to evolve. The average home price reached $825,188 in 2023 and further increased to $833,098 in 2024, showing a steady upward trend. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, potentially impacting homebuying decisions and mortgage affordability in the area.
Looking ahead, based on historical trends and current market conditions, we can project potential scenarios for the next five years. Average home prices in zip code 95404 may continue to rise, albeit at a more moderate pace, potentially reaching around $900,000 to $950,000 by 2029. Average rent prices could also continue their upward trajectory, potentially reaching $2,200 to $2,400 per month by 2029. However, these projections are subject to various economic factors and local market conditions.
In summary, zip code 95404 has demonstrated resilience in maintaining a stable homeownership rate despite significant increases in average home prices. The rental market has seen steady growth in prices, with some notable spikes in recent years. The interplay between federal interest rates, population changes, and local economic factors has shaped the housing landscape in this Santa Rosa zip code, creating a complex and dynamic real estate environment.
