Delaware’s notable absence of a sales tax and its business-friendly legislative framework have made it a prime location for many corporations to establish their legal headquarters. This characteristic has transformed Delaware, despite its small geographical size, into a bustling economic hub, attracting a significant amount of corporate activity and wealth generation. The state’s appeal extends beyond just its favorable business environment, as it also offers picturesque coastal towns and valuable real estate opportunities. An analysis of Delaware’s most expensive ZIP codes provides insight into the state’s housing market, which, while small in number of ZIP codes, showcases substantial fluctuations in home values, particularly in sought-after areas.
In investigating the most expensive regions in Delaware for the year 2024, we utilized data from Zillow’s home value index and the latest findings from the Census Bureau’s American Community Survey. As of September 2024, Zillow tracked property values across 59 ZIP codes throughout Delaware, which is relatively few for an entire state. Significant appreciation in home values has been noted in Delaware, especially following the post-pandemic real estate boom. For instance, one ZIP code experienced an impressive 84.8% increase in home values over the past five years, underscoring the strong demand in the housing market.
Among the top contenders for the highest property values in Delaware is ZIP code 19944, which encompasses the beach community of Fenwick Isle, located near the southern Maryland border. This area boasts a remarkable mean household income of $187,646, contrasting sharply with its median household income of $100,357. The discrepancy can be attributed to a higher concentration of second-home owners, alongside a significant proportion of households (31.4%) earning over $200,000 annually. Over the past five years, the median home value in this ZIP code saw a substantial increase of 54.7%, climbing from $779,650 in 2019 to nearly $1.206 million in September 2024, illustrating the area’s rising prestige and property desirability.
The second most expensive ZIP code, 19807, is located in the affluent bedroom community of Greenville, northwest of Wilmington. This region is characterized by exclusive homes and well-maintained golf courses, attracting high-income residents. The median household income in ZIP code 19807 reaches $143,443, while the average soars to $233,357, indicating that a select group significantly elevates overall income levels. Home values in this desirable location have maintained an upward trajectory, swiftly increasing from a median of $693,903 in September 2019 to a new height of $976,245 by September 2024, showcasing the competitive nature of the local real estate market.
Delaware’s coastal charm continues in the third-ranked ZIP code 19930, which covers the popular vacation destination of Bethany Beach. This area attracts a mix of permanent and seasonal residents, with nearly 29.9% of households earning over $200,000 per year. Although the median household income stands at $116,736, the average household income jumps to $187,289, further emphasizing the area’s financial disparities. Despite an impressive increase in home values spurred by pandemic-era buying patterns, where the median home value rose from $634,590 in 2019 to nearly $1.013 million in September 2022, recent data reveals a decline to approximately $907,971 by September 2024, indicating market corrections and fluctuations common in vacation hotspots.
Lastly, while the analysis primarily focuses on these three prominent ZIP codes reflecting Delaware’s affluent coastal regions, it also serves to highlight the overall trend of rising home values across the state, fueled by its desirable living environments and dynamic economy. The disparity in income and property value growth denotes the continuing attraction of affluent buyers to Delaware’s real estate, driven by its coastal lifestyle, local amenities, and considerable tax advantages. Collectively, these factors reinforce Delaware’s reputation as an appealing locale for investing in property and establishing high-value residences, propelling its economic narrative forward in the residential real estate sector.
