Loading Content...
Aurora, Missouri: Rising Home Values and Stable Ownership in a Charming City
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Aurora, Missouri, a charming city located in the southwestern part of the state, has experienced notable shifts in its housing market over the past decade. With a population of 9,659 in 2022 and spanning 6.3 square miles, this small urban center has seen fluctuations in homeownership rates, average home prices, and average rent prices that reflect broader economic trends and local market dynamics.
The homeownership rate in Aurora has shown a gradual decline from 2013 to 2022, with some fluctuations. In 2013, the city boasted a 65% homeownership rate, which peaked at 70% in 2015 and 2016. However, by 2022, it had returned to 65%. This trend coincides with a substantial increase in average home prices, which rose from $67,498 in 2013 to $143,812 in 2022, representing a 113% increase over this period. This sharp rise in home values may have contributed to the slight decline in homeownership, as affordability became a growing concern for potential buyers.
Federal interest rates have played a significant role in shaping homeownership trends in Aurora. The period from 2013 to 2016, when homeownership rates were at their highest (65-70%), coincided with historically low interest rates ranging from 0.09% to 0.40%. These low rates likely made mortgages more accessible, encouraging homeownership. As interest rates began to rise more steadily from 2017 onwards, reaching 1.68% by 2022, we observe a corresponding decline in homeownership rates, settling back at 65% in 2022.
Renter percentages in Aurora have inversely mirrored homeownership trends, increasing from 30% in 2015 to 35% in 2022. Interestingly, average rent prices have shown volatility during this period. From a high of $768 in 2015, average rent dropped to $650 in 2016, then fluctuated before reaching $664 in 2022. This volatility in rent prices, coupled with the city's population growth from 8,578 in 2015 to 9,659 in 2022, suggests a complex rental market responding to various economic factors and changing housing demands.
In 2023 and 2024, Aurora's housing market continued its upward trajectory. The average home price reached $154,065 in 2023 and further increased to $157,634 in 2024, representing a 9.6% rise from 2022 to 2024. This growth occurred despite a significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for new homebuyers.
Looking ahead, predictive models suggest that Aurora's housing market will likely continue its growth trajectory, albeit at a potentially slower pace. Average home prices are projected to increase by approximately 15-20% over the next five years, reaching around $180,000 to $190,000 by 2029. Average rent prices, which have shown more volatility, are expected to stabilize and increase moderately, potentially reaching $800 to $850 per month in the same timeframe.
In summary, Aurora, Missouri has experienced a significant appreciation in home values over the past decade, with a slight decline in homeownership rates. The rental market has shown resilience and growth, reflecting the city's increasing population. The interplay between federal interest rates, home prices, and affordability continues to shape the housing landscape in this small but dynamic city. As Aurora moves forward, balancing housing affordability with market growth will be crucial for maintaining a diverse and vibrant community.
