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Zip Code 96075: Fluctuating Home Values and Ownership in Rural 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
Zip code 96075, located in Paynes Creek, California, is a rural area with a low population density. Over the past decade, this region has experienced fluctuations in homeownership rates and housing prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 96075 has shown notable variations from 2013 to 2022. In 2013, the area had a high homeownership rate of 75%. However, this rate declined to 59% by 2017, indicating a shift towards renting. Interestingly, as homeownership decreased, average home prices began to rise. From 2016 to 2022, average home prices increased significantly, from $111,772 to $198,048, representing a 77% increase over six years. This inverse relationship suggests that rising home prices may have made homeownership less attainable for some residents, leading to a decrease in the ownership rate.
Federal interest rates have played a role in homeownership trends in zip code 96075. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.09% to 0.4%. During this time, homeownership rates remained relatively high, above 64%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates became more volatile, fluctuating between 59% and 72%. This suggests that while low interest rates initially supported homeownership, other factors such as rising home prices may have counteracted this effect in later years.
Renter percentages in zip code 96075 have generally mirrored the inverse of homeownership rates. The renter-occupied percentage increased from 24% in 2013 to a peak of 40% in 2017, before settling at 29% in 2022. Average rent prices, however, have not shown a consistent upward trend. Rent prices peaked at $779 in 2014, dropped to $633 in 2018, and then rose again to $754 in 2022. The fluctuations in rent prices may be influenced by the area's small population, which ranged from 206 to 277 residents during this period, making the rental market more sensitive to individual changes.
In 2023 and 2024, average home prices in zip code 96075 experienced a notable decline. The average home price dropped from $198,048 in 2022 to $167,637 in 2023, and further decreased to $153,923 in 2024. This represents a 22.3% decrease over two years. Concurrently, federal interest rates rose sharply, reaching 5.02% in 2023 and 5.33% in 2024. This combination of falling home prices and rising interest rates suggests a cooling housing market in the area.
Looking ahead, predictive models suggest that average home prices in zip code 96075 may continue to decline moderately over the next five years, potentially stabilizing around $140,000 by 2029. Rent prices, which have been more volatile, are projected to remain relatively stable, possibly fluctuating between $700 and $800 per month. However, these projections are subject to change based on broader economic conditions and local market factors.
In summary, zip code 96075 has experienced significant changes in its housing market over the past decade. The inverse relationship between homeownership rates and average home prices, the impact of fluctuating interest rates, and the recent cooling of the housing market are key trends to watch. The area's small population adds an element of volatility to these trends, making it an interesting case study in rural housing dynamics.
